06 October 2007
What is Service Tax ? On whom it is applicable and at which rate ? The person on whom it is applicable, has to deposit it at the end of the year or quaterly or half-yearly ?
08 October 2007
THE FINANCE ACT 1994 HAS INTRODUCED SERVICE TAX.A TAX ON PROVIDING SERVICES .THE PRESENT LIST OF SUCH SERVICES HAS 105 SERVICES ON WHICH SERV. TAX MUST BE COLLECTED AND DEPOSITED TO GOVT.THE LIST OF SERVICES IS VERY EXTENSIVE LIKE MANDAP KEEPER,LESSOR OF IMMOVABLE PROPERTY ,OUTDOOR CATERER ETC... FOR A DETAILED LIST of such services AND ANSWERS TO ALL YOUR QUESTIONS PL. VIST www.servicetax.gov.in alternatively pl. go through shared files portal from our caclub forums. THE PRESENT RATE OF SERVICE TAX IS 12% AND INCLUDING EDU. CESS AND HR. EDU. CESS IT IS 12. 36% TO BE COLLECTED FROM THE PERSON RECEIVING THE SERVICE AND TO BE DEPOSITED TO GOVT. ANY SERVICE PROVIDER irrespective whether he is (individuals,firms,companies etc...) PROVIDING ANY OF SUCH 105 SERVICES HAS TO COLLECT AND DEPOSIT SAME WITH GOVT. EVEN IF THE SERVICE PROVIDER FAILS TO COLLECT SUCH TAX , STILL HE IS LIABLE TO PAY TO THE GOVT. THE TIME LIMIT FOR DEPOSIT OF THE TAX TO THE GOVT.IS AS FOLLOWS 5 TH OF the MONTH AFTER END OF EACH QUARTER FOR INDIVIDUALS ,FIRMS ETC. 5 th of the month next to the month in which serv. tax is collected for companies etc. the service tax returns are to be filed for each half year ie in April for half year ending March AND IN OCTOBER FOR THE HALF YEAR ENDING SEPT. R.V.RAO
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