The Central Government vide Notification No. 37/2007-C.E.(N.T.) dated 17.09.2007, amended the Notification 19/2004-C.E.(N.T.) dated 06.09.2004 by inserting clause 2(h), whereby it is provided that when a manufacturer is taking Area Based exemption under various notifications, he shall not be eligible for rebate of export goods. The clause reads as,
Service Tax is an enigma. It has shown to the government that you can tax the largest sector of the economy without having a codified law. It has shown to the tax administrators that it is better to tax without a law as law reduces your discretion. The only sufferer is tax assessee- but in any case, law or no law, they are there to suffer. The administration of Service Tax show ad-hocism at its zenith. In this ad hocism the method of collecting Service Tax on Goods Transport Operator is high point in enforcing uncertainty- I have heard uncertainty of law is the greatest cruelty. The service tax administrator has forgot this cliché.
Mumbai: Revenue department has approved a proposal to levy a flat 1% charge on property registrations with immediate effect, doing away with the Rs30,000 ceiling. Revenue minister Narayan Rane lifted a stay on an earlier order of the government. The decision on the 1% property registration fee was taken by then revenue minister Patangrao Kadam early this year but was stayed ahead of elections.
States that have huge mineral and petroleum reserves, but are economically backward may face significant loss of tax revenues on implementation of goods and services tax (GST), according to economists and experts in public finance. Introduction of GST would lead to the abolition of central sales tax (CST), which is collected by state governments on inter-state sales of goods. The CST rate was reduced from 4% to 2% at the time of introducing value added tax (VAT) in 2005.
