As per Section 75, Interest is payable at 13% on all the short or non payment of Service Tax.
ABC Company had to pay ₹ 800 towards service tax interest and ₹ 250 towards.
To record interest payment
1. Go to Gateway of Tally > Accounting Vouchers > F5: Payment.
2. Click S: Stat Payment.
3. Select Service Tax as the Tax Type.
4. Enter 1-11-2015 in the field Period from and 30-11-2015 in the field To.
5. Select Interest in the Type of Payment.
6. Press Enter to save.
7. Select bank ledger in the field Account.
8. Select the expense ledger for arrears under Particulars.
9. Enter the Amount as 800.
10. Select the Swachh Bharat cess ledger for arrears under Particulars.
11. Enter the Amount as 250.
12. Enter the Bank Allocation details, as applicable.
13. Enter Narration, if required.
The payment invoice appears as shown below:
14. Press Ctrl + A to save.
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