Late Payment of Service Tax
Simple Interest is levied on Late Payment of Service Tax and the Interest Rates with effect from 1st April 2011 vide Notification No. 14/2011 – Service Tax dated 1st March 2011 is as follows:-
Gross Turnover | Interest on Late Payment |
More than Rs. 60 Lakhs | 18% |
Less than Rs. 60 Lakhs | 15% |
BUDGET 2014: INCREASE IN INTEREST ON LATE PAYMENT OF SERVICE TAX
Arun Jaitley while presenting Budget 2014 on 10th July has increased the rate of interest on late payment of service tax. The interest rate on late payment of service tax to be levied on a simple interest basis would now vary depending on the extent of delay in payment of service tax. These new interest rates for late payment of service tax introduced in Budget 2014 would come into effect from 1st October 2014 and are as follows:-
Extent of Delay | Simple Interest p.a. on Late Payment of Service Tax |
Upto 6 months | 18% |
From 6 months upto 1 year | 24% |
More than 1 year | 30% |
The information you have updated is very good and useful, please update further.If you required any info regarding TAX & GSTR please visit
ReplyDelete