Goods Transport Agency: Disputes forever

Goods Transport Agency: Disputes forever

Prepared By:

CA Pradeep Jain,

Ghanshyam Chauhan

It will be very strange to see that the Indian budget is being presented and it does not have mention of service of “Transport of goods by road”. It has been a most litigant and most debated service under service tax. This year budget is no exception. There is a small amendment relating to this service....read more

Port/Airport Services: At Great Expansion

PORT/AIRPORT SERVICES: AT GREAT EXPANSION

Prepared By:

CA Pradeep Jain,

Monu Toshniwal

The introduction of Budget 2010 has brought a drastic change in the definition of the Port/Airport services which will definitely expand the scope of accepting the refund of service tax to the exporters.

The change can be compared by studying the earlier and amended definitions. The earlier definition of Port services as given at Section 65(82) (zn) of the Finance Act, 1994 which is produced as follows.....read more

Deeming Construction Service: Caught in Tax Net

Deeming Construction Service: Caught in Tax Net

Prepared By:

CA Pradeep Jain,

Siddharth Rutiya

The Budget 2010 was eagerly awaited by all sections of the society. Never before, any budget had been so awaited by many of the Indian citizens. Finally the Finance Minister Mr. Pranab Mukherjee announced the Budget on 26-02-2010. This budget brought many welcome steps but also some disappointments to various sections and business classes of the society. Increasing worth of Service tax, which clearly depicted by the statistical data that service sector contributes nearly 60% of the GDP,....read more

Service tax on Transportation by Railway: An unsolved puzzle or a mystery?

Service tax on Transportation by Railway: An unsolved puzzle or a mystery?

Prepared By:

CA Pradeep Jain,

Sukhvinder Kaur

Monu Toshniwal

The service tax on transportation of goods by railway was introduced in the Budget 2009 last year by the Finance Minister. With the levy of service tax, provisions for abatement and exemptions were also introduced. The levy was to come into effect on September 1, 2009. However, under the pressure from the Railway Minister the service on transport of goods by rail was completely scraped by granting exemption to the said service vide Notification no 33/2009-ST dated September 1, 2009 the very day the levy of service tax on Rail was to come into effect......read more

Export of Services: Confusing Exported

Export of Services: Confusing exported

Prepared By:

CA Pradeep Jain

Ghanshyam Chaudhary

Indian budget has also brought many changes related to export of services. As per Export of Service Rules, there are three criterions for declaring a service as export. These criterions are as under:-

(A) Immovable property related services[rule 3(1)(i)]

(B) Performance related services[rule 3(1)(ii)]

(C) Residual Category of Services[rule 3(1)(iii)]

The categories of services are listed in particular criteria’s. The exporter has to fulfil requirement of that criteria under which his services are listed.

Now in this budget there are some services whose criteria has been changed......read more

Commercial Coaching: Only commercial for Government

Commercial Coaching: Only commercial for Government

Prepared By:

CA Pradeep Jain

Mayank Palgauta

The budget, 2010-11 has brought many changes in Service Tax field, although the same was not referred in Finance Minister’s speech. Yet there are many changes in service tax. The service providers of “commercial training or coaching service” are greatly affected due to applicability of new Notifications inserted in this Budget. Prior to this Budget, the word “Commercial” was a point of litigation that this word is to be considered as “for profit making” or not, for service tax purposes. Therefore, we are giving the whole analysis of notifications which will help to know how they will affect upon service providers of the said service.

Definition:

The definition of Commercial training or coaching service has been given in Section 65 (26) of the Finance Act, 1994. The said definition is reproduced hereunder for ready reference, .....read more

Budget Notification No. 17/2010-ST, Dated: 27/02/2010

Notification No. 17/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the taxable service providing packaged or canned software, …..read more

Budget Notification No. 16/2010-ST, Dated: 27/02/2010

Notification No. 16/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by section 93 and section 94, read with section 66A of the Finance Act, 1994 (32 of 1994), the Central Government, hereby makes the following rules further to amend the Taxation of Service (Provided from outside India and Received in India) Rules, 2006, namely: - ….read more

Budget Notification No. 15/2010-ST, Dated: 27/02/2010

Notification No. 15/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by clause (aa) of sub-section (2) of section 94 of the Finance Act, 1994 (32 of 1994), the Central Government, hereby makes the following rules to amend the Service Tax (Determination of Value) Rules, 2006, namely: - ….read more

Budget Notification No. 14/2010-ST, Dated: 27/02/2010

Notification No. 14/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by clause (a) of the section (6) of and clause (a) of sub-section (7) of section 7 of the Territorial Waters, Continental Shelf, Exclusive Economic Zone and Other Maritime Zones Act, 1976 (80 pf 1976), and in supersession of the Government of India in Ministry of Finance (Department of Revenue), notification No. 01/2002-Service Tax, dated the 1st March, 2002, ….read more

Budget Notification No. 13/2010-ST, Dated: 27/02/2010

Notification No. 13/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994) (hereinafter referred to as the Finance Act), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the taxable service provided in relation to on-line information and database access or retrieval services and,….. read more

Budget Notification No. 12/2010-ST, Dated: 27/02/2010

Notification No. 12/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994) (hereinafter referred to as the Finance Act), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the taxable service referred to in sub-clause (zzd) of clause (105) of section 65 of the Finance Act,….. read more

Budget Notification No. 11/2010-ST, Dated: 27/02/2010

Notification No. 11/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994) (hereinafter referred to as the Finance Act), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the taxable service provided to any person, by any other person for transmission of electricity….. read more

Budget Notification No. 10/2010-ST, Dated: 27/02/2010

Notification No. 10/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994) (hereinafter referred to as the Finance Act), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the taxable service provided by a Central or State Seed Testing Laboratory….. read more

Budget Notification No. 09/2010-ST, Dated: 27/02/2010

Notification No. 09/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby makes the following further amendment in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 01/2006-Service Tax …..read more

Budget Notification No. 8/2010-ST, Dated: 27/02/2010

Notification No. 08/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), (hereinafter referred to as the Finance Act), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the taxable service provided to any person in relation to transport of goods, the description of which is specified in …..read more

Budget Notification No. 07/2010-ST, Dated: 27/02/2010

Notification No. 07/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby rescinds the notification of Government of India in the Ministry of Finance (Department of Revenue), No. 33/2009-Service Tax, …..read more

Budget Notification No. 06/2010-ST, Dated: 27/02/2010

Notification No. 06/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 and section 94 of the Finance Act, 1994 (32 of 1994), the Central Government, hereby makes the following rules to amend the Export of Services Rules, 2005, namely: - …..read more

Budget Notification No. 05/2010-ST, Dated: 27/02/2010

Notification No. 05/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby rescinds the notification of Government of India in the Ministry of Finance (Department of Revenue), No. 01/2000-Service Tax, …..read more

Budget Notification No. 04/2010-ST, Dated: 27/02/2010

Notification No. 04/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), the Central Government hereby makes the following amendment in the notification of Government of India in the Ministry of Finance (Department of Revenue), No. 33/2004-Service Tax, dated the 3rd December, 2004, published in the Gazette of India, Extraordinary vide number G.S.R. 788(E), dated the 3rd December, 2004, namely: - …..read more

Budget Notification No. 03/2010-ST, Dated: 27/02/2010

Notification No. 03/2010-Service Tax

New Delhi, the 27th February, 2010

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, on being satisfies that it is necessary in the public interest so to do, hereby makes the following amendment in the notification of Government of India in the Ministry of Finance (Department of Revenue), No. 24/2004-Service Tax, dated the 10th September, 2004, published in the Gazette of India, Extraordinary vide number G.S.R. 598(E), dated the 10th September, 2004, namely:- …..read more

Budget Notification No. 02/2010-ST, Dated: 27/02/2010

[TO BE PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART-II, SECTION 3, SUB-SECTION (i)]

Government of India

Ministry of Finance

(Department of Revenue)

New Delhi, the 27th February, 2010

Notification No. 02/2010-Service Tax

G.S.R. (E). - In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, on being satisfies that it is necessary in the public interest so to do, hereby exempts the taxable service as referred to ….read more