Budget 09-10: Changes in Service Tax



SERVICE TAX:
New Services has been levied on following services:
  1. Transportation of goods through Railways, including government railways.
  2. Transport of coastal goods, and transport through inland waters.
  3. Legal Consultancy Services, except services provided by an individual or to an individual.
  4. Cosmetic Surgery & Plastic Sergery.
Certain services have been modified. The definition of job work, under business auxiliary services has been amended to exclude only those manufacture activity which result in manufacture of excisable goods. Sub brokers have been exempted from payment of service tax.
Revision provision in Service Tax has been repealed.
The government has decided that all pending cases related to conditional abatement in value in GTA services to be disposed off on priority.
Amendment has been made in the composition scheme of work contract service, and it has been made necessary to add value of free material supplied by the service receiver.
Transportation of passengers through contract carriage permit has been exempted.
Federation of Indian Exporters Organisation and Export promotion councils has been exempted from paying service tax on membership subscription.
Service Tax provisions has been extended to Continental Shelf and Excusive Economic Zone. Consequential changes have also been made in the Taxation of Services (Provided from Outside India and Received in India) Rules, 2006 (Notification No. 22/2009-ST dated 07.07.09 refers).
Refund of Service Tax paid by exporters procedure has been simplified. Now the exporters are not required to pay service tax on GTA service or Service Tax paid on Foreign Commission agent. Further the service tax paid on refund shall be refunded through self certification or CA certification.



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Advocate- Tax

Advocate specialising in Taxation and corporate laws. In taxation area we take up matters related to GST, Income Tax, Corporate Tax, Transfer Pricing, Customs, Anti Dumping duty. In Corpoarate practice, we takes up matter related to Merger and acquisition, Insolvency, Restructuring, Transaction, Private equity, Ven ... Read more

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