Exemption Notification 25/2012
19A. Services provided in relation to serving of food or beverages by a canteen maintained in a factory covered under the Factories Act, 1948, having the facility of air-conditioning or central air-heating at any time during the year.
I have read this serial no. 19A of exemption notifcation many many times.
What this means is that if a factory canteen has AC then the service is going to be exempt !!
Really !!
This means that if factory canteen does not have AC then service won't be exempt.
This is crazy ! !
If you read Serial No. 19, then there they are only exempting non-AC restaurants from service tax.
I have no objection if government wants to exempt AC factory canteens from service tax but whats the rationale of not exempting non-AC factory canteens from service tax.
How many factories have AC canteens anyways?
SHOCKER
Regards
Shivani
shivaniadream @ gmail.com
CAclubindia
