03 January 2015
Service tax rate is 12.36% only. It is only lower due to entailment of abatement. Take the case of AC restaurant 60% abatement is available only 40% value of food supplied is charged for service tax. If we apply 12.36% on 40% of value it will be lower.
03 January 2015
Please Check the Abatement List of services. apart from that all service are charged by 12.36%. Where 100% is not service, there only service tax abatement is allowed.
CAclubindia
