| Summary of changes being made by Finance Bill 2015 with their effective dates - Service Tax |
| With immediate effect (from 1.3.2015) |
| (i) Shifting the liability of payment of service tax on aggregator of a service where service is provided under the brand name of the aggregator |
| (ii) Amendments in rules 4, 4A and 5 of the Service Tax Rules, 1994 |
| (iii) Certain amendments in the Cenvat Credit Rules - digitaly signed invoice |
| (iv) Rescinding of notification No. 42/2012-ST |
| (v) Extending the scope of advance rulings to resident firms |
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| With effect from the 1st day of April, 2015 |
| (i) Rationalization of exemptions at S. Nos. 12, 14, 16, 20, 21 and 29 of notification No. 25/2012-ST |
| (ii) Omitting the entry at S. No. 32 in notification No. 25/2012-ST |
| (iii) New exemptions for,- |
| • Precondition, pre-cooling, ripening, waxing, retail packing, labeling of fruits and vegetables |
| • Service by a Common Effluent Treatment Plant operator |
| • Varistha Bima Yojana |
| • Ambulance services |
| • Admission to a museum, zoo, national park, wild life sanctuary, and a tiger reserve |
| • Service provided by exhibitor of movie to a distributor or an AOP consisting of exhibitor as one of its member |
| • Transport of export goods by road from the place of removal to a land customs station |
| (iv) Change in abatement rates and conditions thereof for transport of passengers and goods by train; transport of goods by road by a GTA; transport of goods by vessels; executive/business class travel by air; and withdrawal of abatement on services provided in relation to chit |
| (v) Amendment in reverse charge mechanism,- |
| • To prescribe full reverse charge on manpower supply and security service provided by individual, HUF, partnership firm to a body corporate |
| • Prescribing reverse charge on service provided by a mutual fund agent, mutual fund distributor and agents of lottery distributor |
| (vi) Amendment in rule 4(7) of the Cenvat Credit Rules to allow credit of service tax paid by recipient of service in partial reverse charge immediately on payment of tax |
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| Changes in the Finance Act, 1994 that would get incorporated on enactment of the Finance Bill 2015 |
| (i) Insertion of new definition to specify the term “government” [section 65 B (26A)] |
| (ii) Insertion of a new Explanation in the definition of service [section 65 B(44)] |
| (iii) Insertion of an illustration in sub-section (1) of section 66F(1) to explain the scope of this subsection |
| (iv) Amendment in the definition of the terms “consideration” in section 67 |
| (v) Amendments in sections 73, 76 and 78. |
| (vi) Insertion of transition provision by way of section 78B |
| (vii) Omitting section 80(viii) Amendments in section 86 |
| (ix) Amendments in the provisions relating to Settlement Commission |
| (x) Omitting of rule 6 (6A) of the Service Tax Rules |
| With effect from a date to be notified after the enactment of the Finance Bill, 2015 in respect of each provision |
| New Service Tax rate |
| Swachh Bharat Cess |
| Amendments in the Negative List (section 66D) and definitions (section 65B), namely,- |
| (i) Omitting the definitions of the terms “amusement facility”[section 65 B (9)], “entertainment event” [section 65 B(24)], and entry |
| (j) in section 66D |
| (ii) Amendments in the definition of terms “process amounting to manufacture or production of goods” [section 65 B (40)] and entry (f) in section 66D |
| (iii) Omitting the definition of the terms “support service”[section 65 B (49)], and amendment in section 66D(a) (iv) |
| Amendment in S. No. 30 of notification No. 25/12-ST to exclude job work in relation to alcoholic liquor for human consumption from the scope of this exemption |
| Insertion of a new entry at S. No. 47 of notification No. 25/12- ST to exempt services by way of (i) right to admission to exhibition of film, circus, dance or theatrical performances including drama, or ballet; (ii) recognized sporting event; and (iii) admission to other events where the consideration for admission is upto ₹ 500; |
| Amendments in alternative rates of service tax provided for air travel agent, insurance service, money changing service and service provided by a lottery distributor and selling agent in rule 6(7), 6(7A), 6(7B) and 6(7C) of the Service Tax Rules. |
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