service tax on air travel agent's services

This query is : Resolved

shakti (Querist)
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21 July 2011 Dear Sir
Education cess & SHEC is applicable or not on service tax of Air Travel Agents if not please give notification of service tax. some people say education cess & SHEC is not applicable for this category of service tax, but as per our knowledge Service tax on air travel agents is 0.6% for Domestic tkt booking & 1.20% for International tkt booking in addition education cess @ 2% & SHEC @ 1%.

if those person is right for E.Cess & SHEC then plz give the date when education cess & SHEC is not applicable as per service tax notification.

thanks & Regards
-shakti

U S Sharma

U S Sharma (Expert)
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05 August 2011 Air travel agent service tax is now limited to IATA agents only, and sub agents are exempted from servicetax on basic fare.

However they can charge service fees and service tax + Edu cess + S&HS E cess is appliable on their own fees only.