After Service Tax Exemption

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This query is : Resolved

Rajeev Aggarwal (Querist)

30 April 2008 An assessee has filed an option for availing exemption vide notification no. 4/2007 dated 1.3.2007. He wants to continue to avail exemption during the financial year 2008-09. Do he has to file any document for continuation of exemption or not?
Secondly if he does not wish to avail exemption during 2008-09, do he has to file any document for the same? Shall he charge service tax in the year 2008-09 from the first bill or from the bill when service provided exceeds 10 Lakh? Do he has to pay tax from the very first receipt in 2008-09 or when it crosses 10 Lakh.

CA Hemant T Dewani

CA Hemant T Dewani (Expert)

30 April 2008 as he wish what he want but if one system is adopted then whole year he will not change

Rajeev Aggarwal

Rajeev Aggarwal (Querist)

01 May 2008 The querry has not been properly answered.

CA. Subodh Kumar 9864367665

CA. Subodh Kumar 9864367665 (Expert)

19 May 2008 No need to file any docs for availing or non availing this exemption
AS such there is no requirement to file any declaration, but it is good to write a letter to jurisdictional officer for availing this exemption.

This is itself clear from the date of payment of Tax i.e., 5th of Next month/quarter. If we want exemption, no need to pay tax unless first total sum received from taxable service don’t exceed the exemption limit. In this period (below 10 Lacs recd),no need to file st 3 either.

This is optional exemption. So be careful about the first total sum received.
If u dont want to take exemption, u can charge service tax from first bill, this will indicate itself that u have no opted for exemption. Any further

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