banner_ad

Processing fees on unsecured loan

This query is : Resolved 
Profile Image

Profile Image

(Querist)
26 January 2015 Dear Sir,
One of my friend is a money lender holding ML license in his personal name, he intends to start a proprietorship concern and distribute unsecured personal loans, now when he charges processing fees does he has to deduct service tax on the PF and also interest will be collected by him from his clients at 1 % per month does service tax is applicable on his interest income also, please clarify.
Awaiting your reply in return.
Profile Image

CA Robin Betala

Profile Image

CA Robin Betala (Expert)
27 January 2015 Interest on Personal Loan are not chargeable to service tax but processing fees if exceed exemption limit will be liable to service tax
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news



Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
Featured 02 May 2026
Senior Executive

hitesh chandwani & co

Pune

B.Com

View Details
Company
Featured 29 April 2026
Manager- Finance and Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details
Company
Featured ARTICLESHIP 19 March 2026
Article Assistant

Gupta Sachdeva & Co. Chartered Accountants

New Delhi

CA Final

View Details
Company
Featured 14 March 2026
Associate CA

N N V Satish&co

Hyderabad

CA

View Details