Service Tax News, Articles, Notifications and Forms

The negative list has been drawn keeping in view the federal nature of the polity. Some of the States, through the Empowered Committee of State Finance Ministers, have expressed their concerns. I have decided to address their concerns by making changes in the definition of “service” which will exclude the activities specified in the Constitution as “deemed sale of goods”. The definition of “works contract” has also been enlarged to include movable properties. Full Article

As far as the submission of shifting of tax liability is concerned, as observed in paragraph 9 of Laghu Udyog Bharati (Supra), service tax is an indirect tax, and it is possible that it may be passed on. Therefore, an assessee can certainly enter into a contract to shift its liability of service tax. Though the appellant became the assessee due to amendment of 2000, his position is exactly the same as in respect of Sales Tax, where the seller is the assessee, and is liab.. Full Article

Circular No. 157/8 /2012-ST Representations have been received, seeking clarification regarding the levy of service tax on certain services provided by the Agricultural Produce Marketing Committee (APMC)/Board, using the ‘market fee’, in the light of Notification No.14/2004-ST. The representations have been examined. Full Article

The appellant/assessee is a distributor of mutual fund units and receives commission from mutual fund companies or asset management companies. The commission received by the appellants from the said companies stand taxed by the authorities below on the ground that they have provided Business auxiliary services to the mutual fund company. The appellant/assessee submits that it is recipient of such services, which is liable to pay service tax in terms of rule2(1)(d)(vi) of.. Full Article

In respect of exports made from 14-5-2009 till 6-7-2009, the grant of the refund would be governed by the conditions under the previous Notification No. 41/2007, dated 6-10-2007. For the remaining period, refund would be governed by the new Notification No. 17/2009, dated 7-7-2009. The conditions prescribed in the two notifications are somewhat different. The precedent notification in force till 6-7-2009 had a condition that the storage and warehouse is exclusively used.. Full Article

A draft circular containing details of proposed amendments to harmonize the ER-1, ER-3 and ST-3 returns so that a single common return can be prescribed instead of these three returns as measure of simplification of the Business Processes in respect of filing the Return by assesses. The draft is being placed in public domain for widest possible circulation and an extensive debate from all stakeholders in trade and industry as also from all the field formations of the dep.. Full Article

Budget 2011-12 has made many significant changes in Service Tax and also gave emphasize to penal provisions including prosecution. Section 70 of Finance Act, 1994 reading with Rule 7 of Service Tax Rules, 1994 mandates every service tax payer to file half yearly return within 25 days. If the return is not filed within the time specified then following amount of penalty is levied: Full Article

The following services provided in relation to transportation of goods are specified in the negative list. Services:- • by road except the services of (i) a goods transportation agency; or (ii) a courier agency • by aircraft or vessel from a place outside India to the first customs station of landing in India; or • by inland waterways. Full Article