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Service to govt is taxable

Others 791 views 1 replies

 

Folks..
 
Under the BANKING and FINANCIAL services category, a banking company rendering service to RBI is exempt from TAX; 
but
services rendered to Govt is taxable..!!
(eg. services to PF/ESI etc)
Pl. share the relevant case law reference and judgement there on..!!
 
The word "Government" is not defined in the Finance Act..?
and 
moreso, we have more PPPs..
 
Experts.. pl share your opinion
Replies (1)

Dear Visu,

I think you have not referred the New Law properly.

The meaning is there for the government; which includes Central Government & State Government (including the department of the government like Income Tax Department, etc.) but would not include any government company, governmental company or any body established under any Act.

For further details, please refer to the education guide available on the www.cbec.gov.in site under service tax column.


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