Date of determination of rate of tax, value of taxable service and rate of exchange [Section 67A] :

Section 67A provides that the rate of service tax, value of a taxable service and rate of exchange will be the one as in force or as applicable at the time when the taxable service has been provided or agreed to be provided.

For the purposes of this section, “rate of exchange” means the rate of exchange determined in accordance with such rules as may be prescribed. Rule 11 of Service Tax Rules, 1994 provides the manner of determination of rate of exchange. It lays down that the rate of exchange would be the rate applicable as per the generally accepted accounting principles on the date when point of taxation arises in terms of Point of Taxation Rules, 2011.