service tax
This query is : Resolved
14 January 2011
whether any service tax is applicable on private hospitals?
14 January 2011
Hospitals(Service rendered by a doctor) are not come under service tax Act.
14 January 2011
Thanks Sarvana Sir.I am facing another doubt. I have given the task of doing audit of a Pvt Company which is providing CLEANING services to their client.They started their business just last year.They had not deducted S.T from one of their client for first five months as they did not have S.T Registration No. Then they started doing it. Whether they have to readjust the S.T for the previous 5 months? Plz give me advise.
15 January 2011
In case the value of taxable services exceed Rs 9.00lac, then only the Co. is required to get Registration.
*
Service Tax is not deducted from the bills of Service, but it is added with the services.
*
In case it is First year, Service Tax will be leviable when the total amount of taxable services exceeds Rs. 10.00 lac during the financial year.
*
Up to Rs. 10.00 lac , in the first year no service tax is payable, but in subsequent years, there is no such exemption.
*
Hope , the above will help you in carrying out the audit.
*
Service Tax is not deducted from the bills of Service, but it is added with the services.
*
In case it is First year, Service Tax will be leviable when the total amount of taxable services exceeds Rs. 10.00 lac during the financial year.
*
Up to Rs. 10.00 lac , in the first year no service tax is payable, but in subsequent years, there is no such exemption.
*
Hope , the above will help you in carrying out the audit.
Message likes :
1 times
15 January 2011
Service Tax on Healthcare Services is Introduced in the Finance Act 2010.
Section 65(19b):- “business entity” includes an association of persons, body of individuals, company or firm but does not include an individual.
Section 65 (105) Taxable service means any service provided (or to be provided)- (zzzzo) by any hospital, nursing home or multi-specialty clinic-
(i)To an employee of any business entity, in relation to health check-up or preventive care, where the payment for such check-up or preventive care is made by such business entity directly to such hospital, nursing home or multi-specialty clinics; or
(ii)To a person covered by health insurance scheme, for any health check-up or treatment, where the payment for such health check-up or treatment is made by the insurance company directly to such hospital, nursing home or multi-specialty clinic;
1. Services provided by hospital, nursing home or multi-specialty clinic are only taxable. Hence health-check up and preventive care facilities provided by labs and diagnostic centres and individual doctors are not taxable.
2. Any services provided to an individual will not fall within the ambit of Service Tax.
3. In case of treatment to a person covered by insurance scheme is only taxable. Hence bills paid by individuals and other business entities on behalf of its employees will not attract service tax. Here the basic criteria for taxability is that the person undergoing treatment should be covered under health insurance scheme.
Section 65(19b):- “business entity” includes an association of persons, body of individuals, company or firm but does not include an individual.
Section 65 (105) Taxable service means any service provided (or to be provided)- (zzzzo) by any hospital, nursing home or multi-specialty clinic-
(i)To an employee of any business entity, in relation to health check-up or preventive care, where the payment for such check-up or preventive care is made by such business entity directly to such hospital, nursing home or multi-specialty clinics; or
(ii)To a person covered by health insurance scheme, for any health check-up or treatment, where the payment for such health check-up or treatment is made by the insurance company directly to such hospital, nursing home or multi-specialty clinic;
1. Services provided by hospital, nursing home or multi-specialty clinic are only taxable. Hence health-check up and preventive care facilities provided by labs and diagnostic centres and individual doctors are not taxable.
2. Any services provided to an individual will not fall within the ambit of Service Tax.
3. In case of treatment to a person covered by insurance scheme is only taxable. Hence bills paid by individuals and other business entities on behalf of its employees will not attract service tax. Here the basic criteria for taxability is that the person undergoing treatment should be covered under health insurance scheme.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- About TDS & Income Tax
- Pass word to open justification report for Q1 for FY 2026-27
- Section 194JA & JB Income which ITR Form to use
- Scrutiny and reopening of past returns
- PPF interest-As Exempt Income disclosure
- Booth for sales promotion
- Type of Capital Gain
- F & O PROFIT REPORTING FOR AY 2026-27
- Average Cost Of High Quality Diamonds
- ITR 4 OR ITR 3 WHICH FORM CHOOSE
- TDS on Rent received on redevelopment of building
- Tax on Deemed Capital Gain
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
- Taxation in the hands of Landowner under JDA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
