RATE OF SERVICE TAX w.e.f. 01.04.2012 Budget 2012

On Saturday, March 17, 2012 | 7:00 AM

RATE OF SERVICE TAX (applicable w.e.f. 01.04.2012):
Read How you can avoid 12.36 % Tax means cases where 10.30 % tax can be charged
1.     The rate of service tax is being increased from ten per cent. to twelve per cent.
2.     Consequent to change in the rate of service tax, changes are also being made in specific and compounding rates of tax for the following:

a. For Life Insurance under Rule 6(7A)(ii) of Service Tax Rules, 1994
Gross Amount of Premium Charged
New Rate
Old Rate
1st year
3%
1.5%
Subsequent Years
1.5%
1.5%


b. For Money Changing under Rule 6(7B) of Service Tax Rules, 1994
Gross Amount of Currency Exchanged
New Rate
Old Rate
Up to Rs. 1,00,000
0.12% subject to minimum of Rs. 30
0.10 subject to minimum of Rs. 25
For an amount exceeding Rs. 1,00,000 and up to Rs. 10,00,000
Rs. 120 and 0.06%
Rs. 100 and 0.05%
For an amount exceeding Rs. 10,00,000
Rs. 660 and 0.012% subject to maximum of Rs. 6,000
Rs. 550 and 0.01% subject to maximum of Rs. 5,000


c. For Distributor or Selling Agent of Lotteries under Rule 6(7C) of Service Tax Rules, 1994
Guaranteed Prize Payout
New Rate
Old Rate
More than 80%
Rs. 7,000/- on every Rs. 10 Lakh (or part of Rs. 10 Lakh) of aggregate face value of lottery tickets printed by the organising State for a draw
Rs. 6,000/- on every Rs. 10 Lakh (or part of Rs. 10 Lakh) of aggregate face value of lottery tickets printed by the organising State for a draw
Less than 80%
Rs. 11,000/- on every Rs. 10 Lakh (or part of Rs. 10 Lakh) of aggregate face value of lottery tickets printed by the organising State for a draw
Rs. 9,000/- on every Rs. 10 Lakh (or part of Rs. 10 Lakh) of aggregate face value of lottery tickets printed by the organising State for a draw


d. Works contract service:-
Rate of tax under Composition Scheme has been changed from 4% to 4.8% plus cess.




e. Transport of passengers embarking in India for domestic and international journey by air :
The dual rate structure of maximum service tax of Rupees 150 and Rupees 750 in case of economy class travel is being replaced by an ad valorem rate of twelve per cent. with abatement of sixty per cent subject to the condition that no credit on inputs and capital goods is taken. Therefore, w.e.f. effective rate of tax on journey by air would be 4.8%, subject to availement of abatement. 
Read How you can avoid 12.36 % Tax means cases where 10.30 % tax can be charged TAGS:12.36 service tax rate applicable from ? ,SERVICE TAX RATE 12.36, NEW SERVICE TAX RATES WEF 01.04.2012, INCREASE IN SERVICE TAX RATE IN BUDGET 2012, SERVICE TAX CURRENT RATES
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61 comments:

  1. hello sir,
    how much service tax in to security company's

    ReplyDelete
    Replies

    1. 12% basic + 3% aducation cess

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    2. what should be the minimum anual income of a firm after which it will have to pay service tax.

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  2. I have booked an international air tkt. the total amount is 50900 and the basic fare is 35955/- how much is the service tax i have to pay the agent

    ReplyDelete
    Replies

    1. service tax rate is 4.8% plus cess 3 % on service tax basic amount

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  3. what is the tax rate on travel agents bill amount.

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  4. how many services covered in the service tax and what are names?

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  5. What would be service tax in HR Recruitment services?

    ReplyDelete
    Replies

    2. what should be the minimum income of the recruitment firm

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  6. REALY I DONT NO

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  7. Can any one help me and know what is the exact rate of Service tax for Travel agents.

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  8. how calculate the service tax rate in hotel industries

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  9. I Purchase bill of Transport with Servicetax 25% @ 12.36 can i Take Setoff against by Servicetax Libality.I Also Charges servicetax 25% @ 12.36%

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  10. plz. tell me service tax rate on accommodation services

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  11. I am in a contracting firm so how can i manage service tax as i dunno
    suhail_siddiqui687@indiatimes.com

    ReplyDelete

  12. I am a service receiver and Service Tax to be paid on GTA was 25% of the value with an abatement of 75%. Now after Reverse Charge Mechanism(01.07.2012), whether 75% abatement is still there and is there any abatement for other services included in Reverse Charge Mechanism. Request you to help/reply to me @ haridavey@yahoo.com. Thanks in advance.

    ReplyDelete
    Replies

    1. yes ,abatement rate remain 75% in case of GTA services

      read new abatement rate here

      http://www.simpletaxindia.net/2012/06/abatement-rate-in-services-tax-amended.html

      Delete

  13. i am daksh singhal from bulandshshr so pieased informed me this calculatd ta tax (income tax,vat and aney other tax calculation pleased informed me )please send mail daksh1990.singhal@gmail.com

    ReplyDelete

  14. Hello sir Please Tell me TDs Rates??

    ReplyDelete
    Replies

    1. check here

      http://www.simpletaxindia.net/2012/04/tds-rate-chart-fy-2012-13-tcs-rates.html

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  15. how much servicetax rate in SEZ.

    ReplyDelete
    Replies

    1. Service tax on sez is exempted subject to conditions .Reda notification 40/2012 dated 20.06.2012

      http://www.servicetax.gov.in/notifications/notfns-2012/st40-2012.pdf

      Delete

  16. anyone guide me for service tax on works contracs after amendmend?
    i thinks it is very critical for bill booking and working.

    ReplyDelete
    Replies

    1. read these post

      http://www.simpletaxindia.net/2012/06/value-of-service-works-contract.html

      http://www.simpletaxindia.net/2012/06/new-services-under-reverse-charge-in.html

      Delete

  17. sir,
    how much service tax for hospitality

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  18. Sir
    Can you please tell me the service tax rate for Air travel agent for domestic and International ticketing...

    Thanks and Regards
    Satish

    ReplyDelete
    Replies

    1. Pay an amount calculated at the rate of 0.6% of the basic fare
      (i.e. that part of the fare on which commission is normally paid to the travel agent by the airlines) in the case of domestic bookings,

      and at the rate of 1.2% of the basic fare in the case of international bookings, of passage for travel by air, during any calendar month or quarter

      Option, once exercised, shall apply uniformly in respect of all the bookings of passage for travel by air made by him and
      shall not be changed during a financial year under any circumstances

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  19. what is current rates service tax???

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  20. Are sitting fees received from companies and business associations liable for service tax. If so waht head?

    desaind@gmail.com

    ReplyDelete

  21. Sir,

    what % of ST applicable for planning, designing and architect’s fees applicble (Tax claimed by provider)

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  22. Hi,
    What is the rate of service tax applicable to advertising agencies?

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  23. Hi,
    What is the rate of Service Tax applicable for services received from Advertising Agencies?

    ReplyDelete

  24. What about the service tax on house property, builders are nowadays taking, Service tax of value 2.58% of the agreement value and VAT as 1% of the agreement value of residential property. What is the rate exactly, and how it is calculated?

    ReplyDelete
    Replies

    1. yes service tax is applicable on incomplete property is 25% of 12 % so rate is 3.09%

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  25. Dear Sir,

    I had earlier posted following query but i am unable to locate your reply if any.
    I wish to know that if the car parking space purchased alongwith an apartment is subject to service tax, if yes what is the rate of Service tax on car padking charges. Please also mention relvant tax rule/clause to substantiate the same. regards.

    Ashok

    ReplyDelete

  26. we provide man power & have annual maintenance contract, we charge 12.36% service tax but from this month clients are asking to charge 25% that is 3.09% service tax & rest 75% that is 9.27% service tax will be paid by the service receiver (Client) plz help me out of this, im using tally 9.0 erp now im not able to enter 3.09%

    ReplyDelete
    Replies

    1. Annual maint. contract as such not covered under manpower. First check that as per tem and condition of the contract ,whether contract is covered under the manpower or not . If yes then you should charge 25 % service tax only and should contact tally service provider to correct the rates .

      Manpower definition as per act is

      Manpower means
      (g) “supply of manpower” means supply of manpower, temporarily or otherwise, to another person to work under his superintendence or control.’

      so if control is with you then it is not covered in power.

      Delete

  27. Dear Sh. Raja Babu,

    I had earlier posted following query but i am unable to locate your reply if any.
    I wish to know that if the car parking space purchased alongwith an apartment from a builder is subject to service tax, if yes what is the rate of Service tax on car parking charges. Please also mention relvant tax rule/clause to substantiate the same. regards.

    Ashok

    Read more: http://www.simpletaxindia.net/2012/03/rate-of-service-tax-wef-01042012-budget.html#ixzz28DUUaz9W

    ReplyDelete

  28. We are made to understand that Service tax is payable on the membership subscription amount for membership in trade bodies like Chamber of Commerce etc.

    What is the rate of ST and the effective date for charging the same?

    We have been given reference of Central Excise O.C.No.765/2012,dt. 08/10/2012 saying that is has been introduced with effect from 01.04.12. Is this correct? has the levy been introduced with retrospective effect?

    A clarification will ease a lot of tension in our minds.

    Thanks in advance.

    ReplyDelete

  29. We are made to understand that Service tax is payable on the membership subscription amount for membership in trade bodies like Chamber of Commerce etc.

    What is the rate of ST and the effective date for charging the same?

    We have been given reference of Central Excise O.C.No.765/2012,dt. 08/10/2012 saying that is has been introduced with effect from 01.04.12. Is this correct? has the levy been introduced with retrospective effect?

    A clarification will ease a lot of tension in our minds.

    Thanks in advance.

    Reply

    Read more: http://www.simpletaxindia.net/2012/03/rate-of-service-tax-wef-01042012-budget.html#ixzz2A0aTz4cP

    ReplyDelete

  30. Dear Raja Babu Sir,we are running training center for International exams.The company will charge for Exam Voucher including Books(Free).We are paying for Discounted Voucher Fee includes Books Plus 5% VAT on Fee to them.Then when we train the student we would charge Training Fee+Total Expenses Paid by us.My question is Do we need to pay service tax on training fee or Total(which includes Exam Voucher+Books+5% VAT).Please Reply ASAP

    ReplyDelete
    Replies

    1. You should treat the exam fee and books as sale and should charge vat from the students .Same as the company do with you . if you do so no need to charge service tax n such amount .further you can claim input tax credit of vat and you liability for vat will be almost nil.

      Delete

  31. We are made to understand that Service tax is payable on the membership subscription amount for membership in trade bodies like Chamber of Commerce etc.

    What is the rate of ST and the effective date for charging the same?

    We have been given reference of Central Excise O.C.No.765/2012,dt. 08/10/2012 saying that is has been introduced with effect from 01.04.12. Is this correct? has the levy been introduced with retrospective effect?

    A clarification will ease a lot of tension in our minds.

    Thanks in advance.

    ReplyDelete

  32. We are unable to understand Service tax rates IN WHOLE AND How it is calculated and payable on the All Types of Services in "HOTEL & RESTAURANTS":

    What are rates of Service Tax and the effective date for charging the same, etc.
    Kindly help us in total about ST and VAT (in U.T. areas)

    Nikhilesh
    (nikhilesh202@gmail.com)


    A clarification will ease a lot of tension in our minds.

    Thanks in advance.

    ReplyDelete
    Replies

    1. please read details here
      http://www.simpletaxindia.net/2012/08/service-tax-on-hotel-industry-wef.html

      Delete

  33. Hi,
    What is the rate of service tax applicable to coaching institution ?

    ReplyDelete

  34. sir my question is total bill Rs.8300 but sub bill total Rs.7387 & services tax Rs.913 =8300 but tds calculation in 7387 is tds on 2% =147.74 ya total amt Rs.8300 is tds on 2% =166 pl the ans. sir

    ReplyDelete

  35. We are made to understand that Service tax is payable on the membership subscription amount for membership in trade bodies like Chamber of Commerce etc

    ReplyDelete

  36. What is rate of Service tax Advertisement to be charged by an advertising agency?

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  37. what is the rate of service tax on sale of plots ? service tax applicable or not

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  38. i am travel agent bill amount 12500 (service charge 500 + air line commission amount 200 ) i am how mush service tax bill reserved

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  39. CAN ANY ONE PLZ TELL ME THE RATE OF SERVICE TAX FOR AIR TRAVEL AGENT? AND ALSO EXEMPTION AND ABATMENT

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  40. plz. tell me service tax rate on accommodation services..

    ReplyDelete
    Replies

    1. please read details here
      http://www.simpletaxindia.net/2012/08/service-tax-on-hotel-industry-wef.html

      Delete