Earlier As per Rule 5

Suppose new service become taxable for the first time,

then no tax is payable if

  • Both Invoice issued and payment received before service becoming taxable
  • Payment received before service becoming taxable but invoice issued within 14 days of service becoming taxable

Now as per Rule 5(From 1 March 2016)

Suppose new service become taxable for the first time, or a new levy on services(KKC) . (New Amendment)

then no tax is payable if

  • Both Invoice issued and payment received before service becoming taxable
  • Payment received before service becoming taxable but invoice issued within 14 days of service becoming taxable 

Learn More

  1. Indirect Tax
  2. Amendments Indirect Tax for May 2017 Exams
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CA Maninder Singh's photo - Expert in Practical Accounts, Taxation and Efiling
CA Maninder Singh
CA Maninder Singh is a Chartered Accountant for the past 8 years. He provides courses for Practical Accounts, Taxation and Efiling at teachoo.com .
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