Saturday, April 6, 2013

SERVICE TAX RATE CHART EXEMPTION LIMIT ,ABATEMENT RATE CHART REVERSE CHARGE CHART


on Saturday, April 6, 2013

10 useful charts related to Service tax is given below.Service Tax rate Chart since inception and as applicable for the financial year 2013-14 as per Service tax Act and Rules in India, Exemption limit for Small scale service provider,Due Date to deposit service tax in case of partnership firms and individual and due date for payment chart for other persons  ,Various abatement available in service Tax chart , Service Covered under reverse charge chart.Person covered under various reverse charge schemes, Due date to deposit service tax return , Interest rate on service tax delayed payment , Penalty on late filing of service tax return .Various composition schemes available under the service tax rules ,like Air travel agent ,Life insurance ,outdoor caterer, Restaurant services, Works contract services ,  All chart related to service tax are given at one place.

Download Link is given at the End

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1.SERVICE TAX RATE CHART FROM 01.07.1994 TO FINANCIAL YEAR 2013-14

Period
BASIC RATE %
S.T.
HEC
Eff rate
01/07/1994 to 13/05/2003
5
0
0
5%
14/05/2003 to 09/09/2004
8
0
0
8%
10/09/2004 to 17/04/2006
10
2
0
12%
18/04/2006 to 10/05/2007
12
2
0
12.24%
11/05/2007 to 23/02/2009
12
2
1
12.36%
24/02/2009 to 31/03/2012
10
2
1
10.30%
01/04/2012 to DATE
12
2
1
12.36%

 RATE OF SERVICE TAX (applicable w.e.f. 01.04.2012):(also applicable for Fy 2013-14)
1. The Basic 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%
1.50%
Subsequent Years
1.50%
1.50%
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. 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.

1A Various Composition scheme available under Service Tax 


Taxable Service
 Composition Scheme
Conditions
Relevant Notification/Rule
Air Travel Agent
Option to pay service tax at flat rate on ‘basic fare’ @ 0.6% in case of domestic booking and 1.2% in case of international booking – plus education cess (Composition Scheme)
No restriction on availment of Cenvat credit
Rule 6(7) of Service Tax Rules
Foreign Currency – sale and purchase
At slab rates prescribed under rule 6(7B)on total gross amount of currency exchanged (OptionalComposition Scheme)
No restriction on availment of Cenvat Credit
Rule 6(7B) of Service Tax Rules
Foreign Currency – sale and purchase
Value is difference between  buying or selling rate and RBI reference rate (Normal Scheme of valuation)
No restriction on availment of Cenvat Credit
Rule 2B of Service Tax (Determination of Value)  Rules
Life Insurance
3% of net premium (excluding investment or savings part, if such amount is informed to policy holder)  – If not so informed, 3% in first year and 1.5% in subsequent years(Composition Scheme)
No restriction on availment of Cenvat Credit
Rule 6(7A) of Service Tax Rules
Outdoor caterer
Tax on 60% amount excluding State Vat (Composition Scheme) (Till 1-7-2012, it was 50%)
Cenvat credit of input services and capital goods is available. Cenvat credit on food items (covered under Chapters 1 to 22 of CETA) not available. Cenvat credit of other inputs is available.
Rule 2C of Service Tax (Determination of Value) Rules
Restaurant service
Tax on 40% amount excluding State Vat (Composition Scheme) (Till 1-7-2012, it was 30%)
Cenvat credit of input services and capital goods is available. Cenvat credit of excise duty on food items (covered under Chapters 1 to 22 of CETA) not available. Cenvat credit of other inputs is available.
Rule 2C of Service Tax (Determination of Value) Rules
Tax on value of service calculated as per rule 2A(i) or Tax on 30%/40%/60% of gross amount charged as specified in rule 2A(ii) (Composition Scheme)
Cenvat credit of input services and capital goods is available. Cenvat credit of excise duty on goods, the property of which is transferred is not available. Cenvat credit of other inputs (like consumables) is available
Rule 2A of Service Tax (Determination of Value) Rules
Tax on 30% of amount charged including fair market value of all goods and services supplied by recipient (termed as Abatement Scheme – actually it is composition scheme)


2.Exemption Limit for Small service provider

Small Service Provider Tax exemption Limits
Effective Date
Amount
Notification
W.e.f 1/4/2005
04 lacs
W.e.f. 1/4/2007
08 lacs
W.e.f 1/4/2008
10 lacs
W.e.f 1/7/2012
10 lacs

 3.Service Tax return due Date for all person :
SERVICE TAX RETURN DUE DATE CHART (GENERAL)
APRIL TO SEPTEMBER
25-Oct
OCTOBER TO MARCH
25-Apr
SERVICE TAX RETURN DUE DATE CHART FY 2012-13
31.08.2013

After enactment of Finance Bill 2011, the following position has emerge out:
Period of Delay
Penalty/late fee before finance bill 2011
Penalty/late fee After finance bill 2011
for delay up to 15 days
INR 500
INR 500
for delay beyond 15 days but up to 30 days
INR 1,000
INR 1,000
for delay beyond 30 days
INR 1,000 + INR 100 per day (from 31st daysubject to a maximum amount of Rs 2000.
INR 1,000 + INR 100 per day (from 31st daysubject to a maximum amount of Rs 20000.



‘Provided also that where the gross amount of service tax payable is nil, the Central Excise officer may, on being satisfied that there is sufficient reason for not filing the return, reduce or waive the penalty’.
Read more:about penalty on late filing of service tax return 


 5.Service tax payment Due date 


Category
Frequency
Due Dates
In case of Individuals, proprietary Firms & Partnership Firms
Quarterly as mentioned below -
(6th for internet payment)
( i ) For Q.E. 30th June
- by 5th July 
(ii ) For Q.E. 30th Sept.
- by 5th Oct
( iii ) For Q.E. 31St Dec.
- by 5th Jan.
( iv ) For Q.E. 31st March
- by 31st March
Others (e.g. Companies,Societies, Trusts etc.)
Monthly
By 5th of the month immediately following the month .However, in case of March, the payment should be made by 31st March.



6.Interest on late payment of service Tax 

The new rate of interest of 18% will be applicable from 1st April, 2011.However interest rate is reduced by 3 % for turnover up to 60 Lacs

“Provided that in the case of a service provider, whose value of taxable services provided in a financial year does not exceed sixty lakh rupees during any of the financial years covered by the notice issued under sub-section (3) of section 73A or during the last preceding financial year, as the case may be, such rate of interest shall be reduced by three percent per annum.”

So the reduced interest rate of 15% (18%-3%) will be applicable in case where the value of taxable services provided in a financial year is not more that Rs. 60 lakh. But this provision will have a limited application as only to the small service providers but no relief to the large tax payers has been provided.


7.Abatement Rates on various services
Sr No.
Description of taxable service
% Abatement
% taxable
Conditions
1
2
3
4
5
1
Services in relation to financial leasing including hire purchase
90
10
Nil.
2
Transport of goods by rail
70
30
Nil.
3
Transport of passengers, with  or without accompanied belongings by rail
70
30
Nil.
4
Bundled service by way of supply of food or any other article of human consumption or any drink, in a premises (   including hotel, convention center, club, pandal,shamiana or any other place, specially arranged for organizing a function) together with renting of such premises
30
70
(i) CENVAT credit on any goods classifiable under Chapters 1 to 22 of the Central Excise Tariff Act, 1985 (5 of 1986) used for providing the taxable service, has not been taken under the provisions of the CENVAT Credit Rules, 2004.
5
Transport of passengers by air, with or without accompanied belongings
60
40
CENVAT credit on inputs and capital goods, used for providing the taxable service, has not been taken under the provisions of the CENVAT Credit Rules, 2004.
6
Renting of hotels, inns, guest houses, clubs, campsites or other commercial places meant for residential or lodging purposes.
40
60
Same as above.
7
Services of goods transport agency in relation to transportation of goods.
75
25
CENVAT credit on inputs, capital goods and input services, used for providing the taxable service, has not been taken under the provisions of the CENVAT Credit Rules, 2004.
8
Services provided in relation to chit
30
70
Same as above.
9
Renting of any motor vehicle designed to carry passengers
60
40
Same as above.
10
Transport of goods in a vessel
50
50
Same as above.
11
Services  by a tour operator in relation to,- (i)  a package tour
75
25
(i) CENVAT credit on inputs, capital goods and input services, used for providing the taxable service, has not been taken under the provisions of the CENVAT Credit Rules, 2004.
(ii) The bill issued for this purpose indicates that it is inclusive of charges for such a tour.
(ii)  a tour, if the tour operator is providing services solely of arranging or booking accommodation for any person in relation to a tour
90
10
(i) CENVAT credit on inputs, capital goods and input services, used for providing the taxable service, has not been taken under the provisions of the CENVAT Credit Rules, 2004.
(ii) The invoice, bill or challan issued indicates that it is towards the charges for such accommodation.
(iii) This exemption shall not apply in such cases where the invoice, bill or challanissued by the tour operator, in relation to a tour, only includes the service charges for arranging or booking accommodation for any person and does not include the cost of such accommodation.
(iii) any services other than specified at (i) and (ii) above.
60
40
(i) CENVAT credit on inputs, capital goods and input services, used for providing the taxable service, has not been taken under the provisions of the CENVAT Credit Rules, 2004.
(ii)The bill issued indicates that the amount charged in the bill is the gross amount charged for such a tour.
12
Construction of a complex, building, civil structure or a part thereof, intended for a sale to a buyer, wholly or partly except where entire consideration is received after issuance of completion certificate by the competent authority
75
25
(i) CENVAT credit on inputs used for providing the taxable service has not been taken under the provisions of the CENVAT Credit Rules, 2004.
(ii)The value of land is included in the   amount charged from the service receiver.
a. Residential properties having a carpet area above 2000 sq ft and where amount charged is equal to or more than Rs. 1 crore, b. Commercial properties. 
70
30
same two conditions above
(Notification No. 02/2013-ST dated 1st March, 2013 applicable wef 01.03.13)                




8.Service Covered under reverse charge


Sl.No.
Description of a service
Percentage of  service tax payable by the person providing service
Percentage of service tax payable by the person receiving the service
1
services  provided or agreed to be provided  by an insurance agent to any person carrying on insurance business
Nil
100%
2
services  provided or agreed to be provided  by a goods transport agency in respect of transportation  of goods by road
Nil
100%
3
services  provided or agreed to be provided  by way of sponsorship
Nil
100%
4
services  provided or agreed to be provided  by an arbitral tribunal
Nil
100%
5
services  provided or agreed to be provided  by individual advocate
Nil
100%
6
services  provided or agreed to be provided  by way of support service by Government or local authority
Nil
100%
7
(a)   in respect of  services  provided or agreed to be provided  by way of renting or hiring any motor vehicle designed to carry passenger on abated value.
(b)   in respect of  services  provided or agreed to be provided  by way of renting or hiring any motor vehicle designed to carry passenger on non abated value.
Nil




60%
100 %




40%
8.
services  provided or agreed to be provided  by way of supply of manpower or Security services(inserted in notification 45-46 dated 07/08/2012)  for any purpose
75 %
9.
services  provided or agreed to be provided  by way of works contract
50%
50%
10
any taxable services  provided or agreed to be provided  by any person who is located in a non-taxable territory and received by any person located in the taxable territory(IMPORT OF SERVICES)
Nil
100%
11
provided or agreed to be provided by a directorof a company to the said company
(Inserted through notification 46-47/2012 dated 07/08/2012)
100%

  1. Telecommunication
  2. General Insurance auxiliary
  3. Mutual Fund distributor services.
Support services By Govt or Local authority :Section 65B(49) of Finance Act, 1994 provides the definition of ‘support services’. Support services in respect of which service tax is payable by business entity receiving such services from government or local authority are as under: 
(i) Infrastructural Support Services; 
(ii) Operational support Services; 
(iii) Administrative Support Services; 
(iv) Logistic Services; 
(v) Marketing Services; 
(vi)  Advertisement Services; 
(vii) Promotion Services; 
(viii) Construction or Works Contract Services; 
(ix) Security; 
(x) Testing and Analysis 
(xi) Any other support of any kind comprising functions that entities carry out in ordinary course of  operations themselves but may obtain as services by outsourcing from others for any reason whatsoever. 

Partial Reverse charge :But few new services has been added in the List and for the first time in service tax act /regime partial reverse charge under service tax has been introduced. Now both service receiver and service provider have to pay tax as per prescribed % in case of four services.

The reverse charge is applicable if service receiver /service provider satisfy few condition .In other case service provider has to pay tax on full amount of service.

9.Persons Covered under reverse charge 

Sl.No.
Description of a service
SERVICE PROVIDER
SERVICE RECEIVER
1
services  provided by an insurance agent to any person carrying on insurance business
ANY
ANY
2
services  provided or agreed to be   provided  by a goods transport agency in respect   of transportation  of goods by road
where the consignor or the consignee  is,—
(a)  any factory registered under or governed by the Factories Act, 1948 (63 of 1948);
(b)  any society registered under the Societies Registration Act, 1860 (21 of 1860) or under any other law for the time being in force in any part of India;
(c)  any co-operative society established by or under any law;
(d)  any dealer of excisable goods, who is registered under the Central Excise Act, 1944 (1 of 1944) or the rules made thereunder;
(e)  any body corporate established, by or under any law; or
(f)  any partnership firm whether registered or not under any law including association of persons;
3
services  provided or agreed to be   provided  by way of sponsorship
any
body corporate/partnerhip firm
4
services  provided or agreed to be   provided  by an arbitral tribunal
Arbitral tribunal
Business entity with a turnover more than rupees ten lakh in the preceding financial year;
5
Legal Services provided
by advocate (whether
individual or firm) to any
business entity  
individual or firm
Business entity with a turnover more than rupees ten lakh in the preceding financial year;
6
services  provided or agreed to be   provided  by way of support service by Government or local authority
Government /Local authority
Business entity
7
(a)   services  provided or agreed to be provided  by way of renting or hiring any motor vehicle designed to carry passenger on abated value.
Individual (prop ) /Partnership firm (registered or unregistered)             /HUF
any company formed or registered under the Companies Act, 1956 (1 of  1956) or a business entity registered as body corporate located in the taxable territory;
(b) services  provided or agreed to be provided  by way of renting or hiring any motor vehicle designed to carry passenger on non abated value.
8
services  provided or agreed to be   provided  by way of supply of manpower or security services  for any purpose
9
services  provided or agreed to be   provided  by way of works contract
10
any taxable services  provided or agreed to be provided  by any person who is located in a non-taxable territory and received by any person located in the taxable territory
any
any
11
provided or agreed to be provided by a director of a company to the said company

Read more: http://www.simpletaxindia.net/2012/08/security-services-director-covered-in.html#ixzz230dkwCQg
(inserted by notification 46/2012 date 07/08/2012)
Director (individual)
Company


Now, w. e. f. 07.08.2012, following additional services shall be covered by reverse charge mechanism(Notification 45/2012 and 46/2012 dated 07/08/2012)

10. List of Negative services 

66D. Negative list of services.(Applicable wef 1 July 2012 vide Not. No. 19/2012-ST dated 5 June 2012) The negative list shall comprise of the following services, namely:––

(a) services by Government or a local authority excluding the following services to the extent they are not covered elsewhere—

  • (i) services by the Department of Posts by way of speed post, express parcel post, life insurance and agency services provided to a person other than Government;
  • (ii) services in relation to an aircraft or a vessel, inside or outside the precincts of a port or an airport;(iii) transport of goods or passengers; or
  • (iv) support services, other than services covered under clauses (i) to (iii) above, provided to business entities;

(b) services by the Reserve Bank of India;

(c) services by a foreign diplomatic mission located in India;

(d) services relating to agriculture or agricultural produce by way of —

  • (i) agricultural operations directly related to production of any agricultural produce including cultivation, harvesting, threshing, plant protection or seed (Omitted from the date of Presidential Assent TO FINANCE BILL 2013) testing;
  • (ii) supply of farm labour;
  • (iii) processes carried out at an agricultural farm including tending, pruning, cutting, harvesting, drying, cleaning, trimming, sun drying, fumigating, curing, sorting, grading, cooling or bulk packaging and such like operations which do not alter the essential characteristics of agricultural produce but make it only marketable for the primary market;
  • (iv) renting or leasing of agro machinery or vacant land with or without a structure incidental to its use;(v) loading, unloading, packing, storage or warehousing of agricultural produce;
  • (vi) agricultural extension services;
  • (vii) services by any Agricultural Produce Marketing Committee or Board or services provided by a commission agent for sale or purchase of agricultural produce;(e) trading of goods;

(f) any process amounting to manufacture or production of goods;

(g) selling of space or time slots for advertisements other than advertisements broadcast by radio or television;

(h) service by way of access to a road or a bridge on payment of toll charges;

(i) betting, gambling or lottery;

(j) admission to entertainment events or access to amusement facilities;

(k) transmission or distribution of electricity by an electricity transmission or distribution utility;

(l) services by way of—

  • (i) pre-school education and education up to higher secondary school or equivalent;
  • (ii) education as a part of a curriculum for obtaining a qualification recognised by any law for the time being in force;
  • (iii) education as a part of an approved vocational education course;

(m) services by way of renting of residential dwelling for use as residence;

(n) services by way of—

  • (i) extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount;
  • (ii) inter se sale or purchase of foreign currency amongst banks or authorised dealers of foreign exchange or amongst banks and such dealers;

(o) service of transportation of passengers, with or without accompanied belongings, by—

  • (i) a stage carriage;
  • (ii) railways in a class other than—
    • (A) first class; or
    • (B) an air conditioned coach; 
  • (iii) metro, monorail or tramway;
  • (iv) inland waterways;
  • (v) public transport, other than predominantly for tourism purpose, in a vessel, between places located in India; and
  • (vi) metered cabs, radio taxis or auto rickshaws;
(p) services by way of transportation of goods—

  • (i) by road except the services of—
    • (A) a goods transportation agency; or
    • (B) a courier agency;
  • (ii) by an aircraft or a vessel from a place outside India up to the customs station of clearance; or
  • (iii) by inland waterways;

(q) funeral, burial, crematorium or mortuary services including transportation of the deceased.


Tag:Service tax Rate chart 2013-14, current service tax rate , service tax exemption , service tax abatement, service tax reverse charge list ,Service tax return due date for return, Due date to deposit service tax , service tax related chart, Interest on late deposit of service tax , Penalty on late filing of service tax return 2013-14

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  1. good compilation

    ReplyDelete
  2. Replies
    1. good wrk-cheers flint

      Delete
  3. Very Very useful information and disclosing the facts.

    ReplyDelete
  4. thanks a lot.... for valuable information

    ReplyDelete
  5. Thank you for your very useful information

    ReplyDelete
  6. thank you for youe valuable information

    ReplyDelete
  7. Excellant

    ReplyDelete
  8. Really mind blowing work...

    ReplyDelete
  9. Wish there was an interactive Q & A facility available online for certain clarifications....at a nominal cost perhaps.

    ReplyDelete
    Replies
    1. you can ask query ,we will try to help you without any cost

      Delete
    2. If an individual receives rent from his immovable property as Rs 5,40,000 per annum and Rs 32,16,000 per annum totalling to Rs 37,56,000 per annum:-

      1. Does he have to pay Service Tax separately or together for both the Rents received ??
      2. Can you please let us know how much Service tax needs to be paid for the entire year (or every quarter) along with the calculation ?

      Delete
  10. In case GTA pays service tax then are reverse charges applicAble

    ReplyDelete
  11. Please if i want to learn related tax issue from you, what will be the charges.
    eg: VAT, Service Tax, TDS

    ReplyDelete
  12. If an individual receives rent from his immovable property from 2 Sources as Rs 6 lac per annum and 32 lacs per annum totalling to 37lakhs per annum:-

    1. Can he pay Service Tax separately for both the Rents received ??

    2. Can you please let us know how much Service tax needs to be paid for the entire year (or every quarter) along with the calculation ? Pls keep in mind that last year rent received was less than 10lakhs, so service tax was not applicable

    3. Can we deduct Property Tax (municipal tax) as a deduction while calculating Service Tax? if yes, the amount of property tax would be of the previous year or the present year?

    Regards

    ReplyDelete
  13. What is the rate of service tax to be paid against flooring work in housing society to contractor(If the material cost was paid by contractor) ??

    Regards
    Akash

    ReplyDelete
    Replies
    1. if work is original you can pay 40 % of 12.36 ,if it is renovation /repair work then pay 60 % of 12.36

      or yoy can pay on actual basis total value minus material

      further you can claim cenvat on input services and capital goods

      Delete
  14. Superb.. A lots of thanks...

    ReplyDelete
  15. if we are rice exporter & export to rice in dubai then our clearing agent charg ocean freight, b/l fees , thc charges etx. and charg service tax 12.36% except ocean freight. in case can we claim the refund of service tax or not ?

    And tell me other case like postage, bank charg service tax, etc.

    Please tell me ?

    ReplyDelete
  16. I don't know how to express my thanks for your valid information

    ReplyDelete
  17. SIR, WHOSE NOTIFICATION IN SERVICE TAX 4.8%+2%+1%
    AND
    SIR, WHOSE NOTIFICATION IN SERVICE TAX 2.4%+2%+1%

    ReplyDelete
    Replies
    1. You should reduce service value not tax rate by 60 % by claiming valuation rule and abatement notification 26/2012

      Delete
  18. problem face the service tax return file
    Form ST-3 (Return under Section 70 of the Finance Act, 1994)
    Following issues have been found in your return :
    Tax Rate entered 3 in Provider Section in Payable Sheet is not Valid.

    ReplyDelete
    Replies
    1. You should claim abatement u/s 26/2012 for % allowed and should not reduce tax rate and partial reverse charge at 50 % in notification 30/2012

      Delete
  19. I am doing car travel agent what is the tax rate applicable & upto what turnover tax not applicable

    ReplyDelete
  20. What is the ST rate for 194C Till date(i.e. ST For work contractor)

    ReplyDelete
    Replies
    1. section 194C relates to income tax not to service tax. If your query relates to service tax on works contract read more at following link

      http://www.simpletaxindia.net/2012/08/service-tax-on-works-contract-valuation.html

      Delete
  21. we are some friend's in Bhavnagar (Gujarat)having difference company's authorize services provider and our services income are less then Rs. 10,000,00 (ten lac) we are also gat bill amount from customer with has our farm name (bill heading) so we want to know that, we are liable to pay services Tex ? yes or no

    ReplyDelete
  22. Dear Sir,

    We are working with CPWD as a contractor and we execute the work for Established the IIT campus building's, as the client CPWD didn't deduct the Service tax from our RA Bills, so kindly tell me that if we have to pay the service tax to the govt of work done at site by our sub contractor's or not.
    Kindly guide the same from your end.

    ReplyDelete
  23. Dear Admin,

    Appreciate the fantastic work and effort done to compile this valuable information at one place. Good work.

    I have a query, we are work contractor providing work of fabrication and installation of aluminium windows, doors, shower cubbicals, partitions on land non moveable property/goods., at what percentage we should tax service tax is it on 70% or 40% or 60% Please guide we are confused. Thank you.

    ReplyDelete
    Replies
    1. You have two options
      First : Pay as per actual means from total value of contract deduct material as per actual and on balance pay service tax.
      Second :presumptive scheme
      If work is original then pay service tax on 40 % amount.
      if work is repair then pay service tax on 60% amount.

      you can opt any of two contract wise

      Delete
    2. Thank you very much sir for your prompt reply.

      Delete
  24. What is Service Tax Rate to Service Receiver (if Service Receiver is a Company) on Rent a Cab service received from Service provider (if service provider is a Proprietorship firm)

    ReplyDelete
    Replies
    1. Service receiver is liable to pay only 40 % of service tax charged if service receiver has not claimed 60 % abatement .
      Service receiver is liable to pay only 100 % of service tax charged if service receiver has claimed 60 % abatement .

      In both case service receiver liability remains same

      In case one if gross Bill is 100 RS then service tax payable by service receiver shall be

      100*12.36% *40%=4.944

      In case two Bill will be raised after 60 % rebate
      Gross amount =100
      abatement =60 % =60
      Net Taxable amount =40
      Service tax on 40 =4.944
      100 % payable by service receiver .

      So in both situations service receivers liability remains same.


      Delete
  25. Please reply any one of my query regarding Service Tax on Rent a Cab service received from a Service Provider, who is a proprietorship Firm , raised the bill of Rs. 30000/- to us , as we are Service Receiver Company . how much service tax we have to pay & what percentage on amount.

    ReplyDelete
    Replies
    1. As explained above you should pay

      3000*12.36% *40%=148.32 Rs

      Delete
  26. Sir,

    Please reply of my query that we are pvt Ltd Co. and has received a Bill from an Individual of Advocate Firm of Rs. 30000/- on 31.5.14 and our Pvt. Ltd. Company turnover in the previous year 2013-14 was nil and company is not registered with Service Tax Deptt.

    Whether our Pvt. Ltd. Company is liable to Pay Service tax under reverse charge.

    Regards
    Anil Jain
    9312640067

    ReplyDelete
    Replies
    1. Sir,

      Please reply of my query that we are pvt Ltd Co. and has received a Bill from an Individual of Advocate Firm of Rs. 30000/- on 31.5.14 and our Pvt. Ltd. Company turnover in the previous year 2013-14 was nil and company is not registered with Service Tax Deptt.

      Whether our Pvt. Ltd. Company is liable to Pay Service tax under reverse charge.

      I shall highly be appreciated for utmost reply.....

      Regards
      Anil Jain
      9312640067 -

      Delete
  27. I am a tour provider marketing hotels on behalf of various hotels for a commission. How much service tax should I pay for the commission which I am receiving from the hotels?
    Should I pay any tax for the commission collected by me for booking a hotel for a foreigner?
    Please help.

    Regards,
    Rashid
    rashidmundeth@gmail.com

    ReplyDelete
  28. What is Service Tax Rate to Service Receiver (if Service Receiver is a Company) on security (manpower) service received from Service provider security agency(if service provider is a Proprietorship firm)

    ReplyDelete
    Replies
    1. Rate is 12.36 % .Out of this service receiver is to deposit 75 % and service provider is to pay 25 %

      Delete
  29. Please clarify that is there any change in service tax rates after 01.10.14 for under mentioned:

    Service Covered under reverse charge

    9.services provided or agreed to be provided by way of works contract
    50%
    50%

    ReplyDelete