30 July 2012
Service tax is not applicable for farming. Kindly see the exemption notification on which the following services are in the negative list. If you are doing any of these work, service tax need not be charged.
The services relating to agriculture or agricultural produce that are specified in the negative list are services relating to – Income Tax return Forms Ay 2012-13
• agricultural operations directly related to production of any agricultural produce including cultivation, harvesting, threshing, plant protection or seed testing; • supply of farm labour; • processes carried out at the agricultural farm including tending, pruning, cutting, harvesting, drying cleaning, trimming, sun drying, fumigating, curing, sorting, grading, cooling or bulk packaging and such like operations which do not alter essential characteristics of agricultural produce but makes it only marketable for the primary market; • renting of agro machinery or vacant land with or without a structure incidental to its use; • loading, unloading, packing, storage and warehousing of agricultural produce; • agricultural extension services; • services provided by any Agricultural Produce
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