Recording payment of Late Fee (Service Tax)

As per Sec 70 (1), if an assessee files service tax returns after the due date, a specific amount has to be paid as late fee.

For example, Serendipitous Clicks filed their returns after the due date, and hence attracted a late fee of ₹ 100.

To record payment of late fee

1.    Go to Gateway of Tally > Accounting Vouchers > F5: Payment.

2.    Click S: Stat Payment.

3.    Click F12: Configure, and enable Allow Other Payment Types.

4.    Select Service Tax as the Tax Type.

5.    Enter 1-11-2015 in the field Period from and 30-11-2015 in the To field.

6.    Select Late Fee in the Type of Payment.

7.    Press Enter to save.

8.    Select bank ledger in the field Account.

9.    Select the expense ledger for arrears under Particulars.

10.  Enter the Amount as 100.

11.  Press Enter to save.

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.