Under service tax act general exemptions are allowed at fixed percentage for few services (List is given as under) .This fixed % is called abatements .This abatement can be claimed by the service provider if he has not claimed the cenvat credit on input services/goods.
Suppose a person has provided a service of 100 Rs and abatement on that service is 30 % than he can pay tax only on 70 % amount . Further exemption limit of 10 lacs is also counted after allowing the abatement . I list of various service in which abatement is allowed under service tax act is given below for your ready reference .
ABATEMENT RATE VARIOUS SERVICES UNDER SERVICE TAX
Reviewed by RAJA BABU
Rating: 5 Under service tax act general exemptions are allowed at fixed percentage for few services (List is given as under) .This fixed % is called ...
The contents of this page are solely for informational purpose. It does not constitute professional advice or recommendation of Simple Tax India/Author. Neither the authors nor simple tax India and its affiliates accepts any liabilities for any loss or damage of any kind arising out of any information in this document nor for any actions taken in reliance thereon.
Readers are advised to consult the professional for understanding applicability of this newsletter in the respective scenarios. While due care has been taken in preparing this document, the existence of mistakes and omissions herein is not ruled out. No part of this document should be distributed or copied (except for personal, non-commercial use) without our written permission.