Accounts Notes: Service Tax on Provisional Assessment

Saturday 2 July 2011

Service Tax on Provisional Assessment

Indian Service Tax
Provisional Assessment

The concept of provisional assessment has been built into the scheme of service tax rules, vide sub-rules (4) to (6) of Rule 6 of Service Tax Rules, 1994.Whenever an assessee, for any reason, unable to correctly estimate on the date of deposit, the actual amounts collected for any particular month or quarter, the assessee may make a request in writing to the Asst. Commissioner/Deputy Commissioner of Central Excise, concerned, to make a provisional assessment of the tax on the basis of amount deposited. The said Central Excise Officer will, on receipt of such request, order provisional assessment of tax. In this regard, the provisions of Central Excise Rules have been made applicable. However, there is no requirement to enter into a bond in respect of service tax.

A statement giving details of the difference between the service tax deposited and the service tax liable to be paid for each month in a memorandum in Form ST -3A accompanying the quarterly or half-yearly return.
Form St-3A **

** See also "Centralised Accounting System".

Memorandum for provisional deposit under rule 6 of the Service Tax Rules, 1994, for the month of________________20 _________.

Sl.No.

Provisional Value of taxableService in terms of Section 67 of the Act

Provisional Amount of Service Tax paid

Form TR-6 No.and date

Actual value of Taxable Service in Terms of Section 67

Actual Amount of Service Tax Payable

Difference between the amount of Provisionallly Paid Tax and the amont of Service Tax Payable

Form TR-6 No. and Date indicating payment under Col. (7)

Remarks

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Reasons for making provisional deposit of Service Tax __________________________________.

* Attach separate sheet for each month.