Finance Update - Confia Interactive Finance Team

Service Tax Voluntary Compliance Encouragement Rules, 2013

Central Government vide Notification No.10/2013-ST dated 13th May,2013 has notified Service Tax Voluntary Compliance Encouragement Rules, 2013. The salient features of these Rules are as under:

• Any person wishing to make declaration under Voluntary Compliance Encouragement Scheme (VCES) shall take registration under Rule 4 of the Service Tax Rules, 1994, in case he is not already registered.

• The declaration of tax dues to be made in Form VCES-1 in duplicate verified in the prescribed manner giving interalia details such as name, address, telephone, email ID, STC no. & details of tax dues.

• The declaration in Form No.VCES-1 to be accompanied by calculation sheet of service tax dues (calculated in the manner prescribed under Sr. No.3F(I) or Part B of Form ST-3, as the case may be, for the relevant period). Such calculation sheet to be furnished return period wise and service wise, in case the tax dues relate to more than one service .

• Designated authority to issue an acknowledgement of such declaration in Form No.VCES-2 within 7 working days from the date of receipt of declaration

• No CENVAT Credit to be utilized for payment of tax dues under this Scheme

• Designated authority to issue acknowledgement of discharge of dues to the declarant in Form No.VCES-3 within 7 working days from furnishing the details of full payment of declared tax and interest, if any

- Confia Interactive

   Finance Team