Dear Sir,
what will be include in non taxable territory. will you include in any state like jammu & kashmir.
CA Ganesh Karthik
(Chartered Accountant)
(368 Points)
Replied 28 April 2012
Ram kr.
(Buisness)
(883 Points)
Replied 29 April 2012
I want to know meaning of territory. Can we consider a state like j&k as a non taxable territory. recent service tax provision if a service receiver in taxable territory receive services from a non taxable territory is liable to pay service tax.
CA Ganesh Karthik
(Chartered Accountant)
(368 Points)
Replied 30 April 2012
Dear Mr. Ram,
As per the finance bill, section 65B (52),"Taxable territory means the territory to which the provisions of this chapter apply"
As per section 65B(35), Non - taxable territory means the territory which is outside the taxable territory.
The provisions of this Chapter (Chapter V) apply to the whole of India, except Jammu & Kashmir.
That means Jammu & Kashmir is a non - taxable territory.
Hope your doubt is clarified..
Note: The concept of taxable territory (and the definitions as mentioned above) will come into effect only after enactment of the finance bill.
CA Ganesh Karthik
(Chartered Accountant)
(368 Points)
Replied 30 April 2012
Dear Mr. Ram,
As per the finance bill, section 65B (52),"Taxable territory means the territory to which the provisions of this chapter apply"
As per section 65B(35), Non - taxable territory means the territory which is outside the taxable territory.
The provisions of this Chapter (Chapter V) apply to the whole of India, except Jammu & Kashmir.
That means Jammu & Kashmir is a non - taxable territory.
Hope your doubt is clarified..
Note: The concept of taxable territory (and the definitions as mentioned above) will come into effect only after enactment of the finance bill.
Ram kr.
(Buisness)
(883 Points)
Replied 30 April 2012
you mean to say if a service tax receiver receive services from non taxable territory except jammu & kashmir liable to pay service tax.
CA Ganesh Karthik
(Chartered Accountant)
(368 Points)
Replied 02 May 2012
No Sir.. Jammu & Kashmir is also a non - taxable territory, similar to a foreign country (for the purpose of service tax).
So, even if service will be received from Jammu & Kashmir, the service receiver wil have to pay the service tax.
Again, let me remind, this change will come into effect only after the Finance bill has been enacted.
Analysis of 20 GST Notices (including 2 Appeals) and Practise on Drafting(with recording)
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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