Service Tax Reimbursement

This query is : Resolved

shankar (Querist)
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14 April 2008 Dear Sir,

We are developing 100% EOU in Chennai

shall we eligible to service tax reimbursement.

If it's eligible what is the procedure to apply.

Pls clarify it.

Rgds
E.shanknar / 1976shan@gmail.com

R.V.RAO

R.V.RAO (Expert)
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14 April 2008 Remission of Servicetax: For all goods and services which are exported from units in Tax in DTADomestic Tariff Area (DTA) and units in EOU/EHTP/STP/BTP remission of service tax levied shall be allowed.
Exemption from from serv.tax:Units in SEZ shall be exempted from service tax.
source:exim policy document-

THERE IS A SUBTLE DIFFERENCE BETWEEN exemption and a remission. An exemption means there is no charge. A remission means there is a charge but the UNIT is entitled to help paying it.
R.V.RAO