Reduction in Threshold Limit for Mandatory E-Payment of Central Excise Duty and Service Tax
PrintListen to this Article
It has now been decided to reduce the threshold limit of mandatory e- payment from rupees ten lakhs to rupees one lakhfor both Central Excise and Service Tax payment with effect from 1st of January, 2014. Notification no. 15/2013-C.E. ( N.T.)dtd 22.11.13 and 16/2013- Service Tax dtd 22.11.13 have been issued by the government to notify these changes. Thus, from 1st of January, 2014, a manufacturer or a Service Tax payer who has paid a duty or tax of more than rupees onelakh in the previous financial year shall be required to pay duty or tax through internet banking.
This step has been taken as measure of trade facilitation and it is expected that increased coverage of e-payment would make it convenient for the trade to pay taxes electronically.
Currently, a manufacturer is required to pay duty of Central Excise through internet banking (i.e. e- payment) if the total duty paid by the manufacturer exceeds rupees ten lakhs in the previous financial year as per rule 8 of the Central Excise Rules, 2002.
A Service provider is also required to pay Service Tax through internet banking (i.e. e-payment) if the total tax paid by the Service provider exceeds rupees ten lakhs in the previous financial year as per rule 6 of the Service Tax Rules, 1994.
Category : Service Tax | Comments : 0 | Hits : 775
In a setback to the Patanjali Yogpeeth Trust, the Supreme Court on Friday upheld an appellate tribunal’s ruling that the organisation is liable to pay service tax for charging an entry fee for organising Yoga camps, both residential and non-residential. A bench of Justices Abhay S Oka and Ujjal Bhuyan refused to interfere with the October 5, 2023 decision of the Allahabad bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT).The bench, while dismissing the Trust&rsquo...
The High Court recently imposed an ‘exemplary cost’ of Rs 1 lakh on the Commissioner of Service Tax (Appeals) Suresh Kumar, which he has to pay “from his personal funds”. The fine came after what the HC termed was a “total callous, negligent and disrespectful behaviour shown by the Departmental authorities in this Court”. The Department had failed to follow a tax Tribunal order to refund tax to a company. Instead, it went on to reject the Tribunal order and...
In a relief to IT companies, government has set aside a 10,000 crore rupee service tax demand notices on IT companies. In a statement, the Finance Ministry said, as a result, apprehensions about the negative effects on the software industry are without basis. The government's move came a day after IT companies raised the issue of tax demand with Finance Minister Arun Jaitley during the pre-budget consultations. The tax department had slapped service tax demand notices on about 200 info...
In order to clear the pendency of cases as on 30th June 2017 before the Commissioners of Central Excise and Service Tax (Appeals), the CBEC will redistribute the cases pending in the jurisdiction of a Principal Chief Commissioner / Chief Commissioner of Central Excise and Service Tax, among other Commissioner rank officers posted in that jurisdiction. A notification and circular have been issued in this regard. #casansaar (Source - PIB)
Certain transitional issues arising with respect to payment of service tax after 30th June 2017 have been clarified by CBEC vide circular dated 28-9-2017. It has been clarified that in cases where service was received before 1-7-2017 and payment for the value of the service was also made before 1-7-2017, but the service tax was paid by 5th /6th July 2017, details of credit should be indicated in Part I of Form ST-3 by filing a revised return. In order to give compliant assessees who had...
Comments