Service tax liability - basic exemption

Originally posted by : RAJNISH PISSAY
	IN PREVIOUS YEAR's TAXABLE RECEIPTS UNDER RENTING OF IMMOVABLE PROPERTY WAS MORE THAN Rs. 10 LAKHS AND SERVICE TAX WAS COLLECTED AND DEPOSITED INTO GOVT A/c AND FORM ST-3 FILED. IN CURRENT FINANCIAL YEAR THE TAXABLE RECEIPTS SHALL ONLY BE ABOUT 7 LAKHS FOR ALL PREMISES AND ALL SERVICES. WILL THE ASSESSEE GET THE BENEFIT OF THRESHOLD LIMIT OF Rs. 10 LAKHS AND BE EXEMPT FROM PAYMENT OF SERVICE TAX?

No, because to take the benefit of Notification No. 33/2012, dated 20.06.12, the aggregate value of all taxable services in the preceding financial year should not exceed ten lakh rupees, provided from all premises.
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(Notification No. 33/2012 exempts taxable services of aggregate value not exceeding ten lakh rupees in any financial year from the whole of the service tax. Beside the above mentioned condition, there are also others conditions as well regarding CENVAT.)

Totally Agreed with Deepak.....

No exemption. Pay tax from Re. 1. However, instead of paying service tax on billing basis, you may pay on receipt basis under 3rd proviso to Rule 6(1) of STR, 94 if SP is individual, proprietory or partnership firm.