Introduction
Under the Service Tax regime in India, professionals such as chartered accountants, architects, engineers, legal consultants, management consultants, and others providing specified services were treated as taxable entities. These professionals were required to adhere to a set of compliance obligations once their taxable service turnover exceeded the prescribed threshold. These compliance requirements ensured transparency, timely tax collection, and formalization of professional services within the indirect tax framework.

Registration Requirement
Professionals were required to obtain Service Tax registration if the aggregate value of taxable services exceeded ₹9 lakhs in a financial year. Registration was mandatory once the value crossed ₹10 lakhs, and it had to be done within 30 days of reaching the threshold. The application was made online using Form ST-1 via the ACES portal.

Issuance of Invoices
After registration, professionals had to issue tax invoices for all taxable services rendered. The invoice had to include essential details such as:

• Name, address, and Service Tax number of the provider
  
• Name and address of the recipient
  
• Description of the service provided
  
• Amount charged and Service Tax component
  Invoices had to be issued within 30 days from the date of service completion or payment receipt.
  

Service Tax Payment
Professionals were required to collect Service Tax from clients and deposit it with the government. For individuals or proprietors, payment was to be made quarterly, while companies had to pay monthly. The due date for payment was the 5th of the following month (6th if paid online). Service Tax was payable on an accrual basis unless opted otherwise.

Filing of Returns
Registered professionals had to file ST-3 returns twice a year:

• For April to September: by 25th October
  
• For October to March: by 25th April
  The return captured taxable value, taxes paid, input credit details, and reverse charge transactions if applicable. Late filing attracted penalties under Rule 7C of the Service Tax Rules.
  

Maintenance of Records
Professionals had to maintain proper books of account, including invoice records, payment receipts, ledgers, and CENVAT credit utilization registers. These records were to be preserved for at least five years and made available to the tax department during audits or inquiries.

CENVAT Credit Utilization
Professionals could claim CENVAT credit on input services and goods used for providing taxable output services. However, such credits had to be properly documented and utilized only for eligible purposes. Misuse or improper claims led to penalties and reversal of credit.

Reverse Charge Compliance
In some cases, professionals were liable to pay tax under reverse charge mechanism, especially when availing services from non-resident providers or when specified services were notified under reverse charge. In such scenarios, they had to discharge tax liability themselves and report it accordingly.

Audit and Verification
Professionals were subject to Service Tax audits conducted by tax officers. During audits, they had to produce books of accounts, returns, challans, and other related documents. Discrepancies in reporting or non-compliance could lead to assessments, interest demands, and penalties.

Amendments and Surrender of Registration
Any change in address, service category, or constitution of business required amendment in registration details. If the professional ceased to provide taxable services, they had to surrender the Service Tax registration formally after clearing all dues and filing the final return.

Conclusion
Professionals under the Service Tax regime were required to comply with a structured set of regulations, from registration and invoicing to return filing and tax payment. These requirements ensured proper tax administration and legal accountability within the professional services sector. The discipline and procedures developed during this period served as a foundation for professional compliance under the current GST framework.

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