ST on interest on Personal Loan

What will be the rate of service tax charge by Bank or any Financial Institution on Personal Loan taken? If i will purchase any product by using any credit Card, should bank charge me any Service Tax? If i become a defaulter then on peneltimate Interest shall Bank will charge Service Tax?

Pls Reply Soon.


Replies (1)
Bank will charge service tax on his fees like collection fees or processing fees. service tax is not leviable on interest.

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