What is the penalty in case of delay in paying the Service Tax to the Government within the prescribed time limit?
Ans. For failure to pay the Service Tax, the assessee shall be required to pay a minimum penalty from Rs.100/- to Rs.200/- per day as decided by Central Excise Officer. This will be subject to a ceiling of the amount equivalent to Service Tax not paid. Interest shall also be payable at the rate of one and half percent for every month or part of a month by which such paying of the tax or any part thereof is delayed.
