Legal Consultancy Service - Taxable Services - As appliable on or before 30-6-2012 - Service Tax

Legal Consultancy Service (on business entity w.e.f. 1-09-2009) (on individuals, selected services, w.e.f. 1.5.2011) Accounting Code for Service Tax: 00440480 Accounting Code for Interest and Penalty: 00440483 What is taxable - 65(105)(zzzzm) w.e.f. 1.5.2011 Any service provided or to be provided to (i) any person, by a business entity, in relation to advice, consultancy or assistance in any branch of law, in any manner; (ii) to any business entity, by any person, in relation to representational services before any court, Tribunal or authority; (iii) to any business entity, by an arbitral Tribunal, in respect of arbitration. Explanation . For the purposes of this item, the expressions arbitration and arbitral tribunal shall have the meanings respectively assigned to them in the Arbitration and Conciliation Act, 1996 (26 of 1996);] Meaning of Business Entity - 65(19b) '"business entity" includes an association of persons, body of individuals, company or firm but does not include an individual; *************** Extracts from Circular No. D.O. F. No.334/13/2009-TRU dated 6-7-2009 2.3 Legal Consultancy Service: As in the case of management consultancy or engineering consultancy service, any consultancy, advice or technical assistance provided in any discipline of law is proposed to be subjected to service tax. However, the tax would be limited to services provided by a business entity to another business entity. It has been defined that a business entity includes firms, associates, enterprises, companies etc. but does not include an individual. Thus, services provided by an individual advocate either to an individual or even to a business entity would be outside the scope of the taxable service. Similarly, the services provided by a corporate legal firm to an individual would also be outside the purview of taxable service. Any service of appearance before any court of law or any statutory authority would also be kept outside this levy. *************** Notes: Amendments with effect from 1.7.2010, Explanation to section 65(105)(zzzzm) omitted vide Finance Act, 2010 with the introduction of the meaning of the term "Business Entity" defined separately, the explanation, before deletion was read as, " Explanation. For the purposes of this sub-clause, "business entity" includes an association of persons, body of individuals, company or firm, but does not include an individual;" Scope of this service enlarged w.e.f. 1.5.2011, before 1.5.2011 the scope of legal services was as under: What was taxable - 65(105)(zzzzm) before 1.5.2011 Any service provided or to be provided to a business entity, by any other business entity, in relation to advice, consultancy or assistance in any branch of law, in any manner: Provided that any service provided by way of appearance before any court, tribunal or authority shall not amount to taxable service.