10.1
Any amount collected by a person as service tax from any other person, who is not
chargeable in terms of services tax, such amount is required to be deposited
with the Central Government. In other words no amount collected as
service tax could be retained by person who has collected such amount. Any
delay in depositing such amount attracts simple interest at rate prescribed
under section 73 B of the Act. At present the rate of interest is 13% per annum
(notification No. 8/2006-ST, dated 19.4.2006).