Rate of Tax, Service Tax

[Harsh Jindal]

What wil be the rate of tax if services are provided before 1 july and payment is received after 1 july?

Posts / Replies

[Pradeep Khatri]

The Department has clarified this matter and tax will be 12.36%.

[JAMES PG]

But there is a stay on the extra collection of 2.06% by Delhi High Court

[Pradeep Khatri]

Yes, but on professionals like, CA, ICWA and CS.

[Harsh Jindal]

It depends on situation. There are three events in a service:
1. Date of Invoice
2. Date of receiving payment
3. Date of providing service
If, two events are held before 1 july, then the rate will be 10.30% and if the two events are held after 1 July, then the rate will be 12.36%.

[Pradeep Khatri]

Very true....