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TMI BlogFAQ on Service TaxX X X X Extracts X X X X X X X X Extracts X X X X ..... and exceptions. The provisions of the relevant Finance Act, notifications and circulars or instructions of the Board shall prevail over the answers provided in this booklet in case of any contradiction. While every effort has been made to ensure that the information contained in this booklet is up-to-date, the Central Board of Excise and Customs and Directorate General of Service Tax, Mumbai do not hold themselves liable for any consequences, legal or otherwise, arising out of the use of any such information. I sincerely acknowledge the remarkable efforts made by Shri Pranesh Pathak, Additional Director, Shri Rakesh Ladwal, Assisstant Director Shri D.P. Kulkarni Supdt. of this Directorate in bringing out this edition of the booklet. I would also like to express my appreciation and thanks to the Shri Pawan Kumar Sinha Additional Commissioner CCO Customs Ahmedabad and Shri Shirish S. Gogate Inspector, LTU Mumbai who had put in hard work while working in DGST, for publishing the earlier version of this booklet. Last but not the least, I acknowledge the contribution of the Central Board of Excise Customs for providing their valuable inputs and guidance. If you have any doubts, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 18 Where can the Department can be contacted... 19 Appendix 1 - List of Taxable Services with Account Codes 20 Appendix 2 - abatements available under Service Tax Laws 21 Appendix 3 - List of provisions-Provisions of Central Excise Act, 1944 , applicable to Service Tax. 22 Appendix 4 - Export of Service Services Rules, 2006 23 Appendix 5 -List of taxable services eligible for full CENVAT credit even though separate records are not maintained for taxable and exempted services SERVICE TAX FREQUENTELY ASKED QUESTIONS 1. General 1.1. What is Service Tax and who pays this tax? Service tax is, as the name suggests, a tax on Services. It is a tax levied on the transaction of certain services specified by the Central Government under the Finance Act, 1994. It is an indirect tax (akin to Excise Duty or Sales Tax) which means that normally, the service provider pays the tax and recovers the amount from the recipient of taxable service. 1.2. Who is liable to pay service tax? Normally, the 'person' who provides the taxable service on receipt of service charges is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ued under section 93 of the Finance Act, 1994. (iii) Whether you are entitled to the value based exemption available for small service providers under notification No.6/2005-ST dated 1.3.05 as amended from time to time. Details are explained in para 8.1 of this Booklet. (iv) Whether the service charges were received for the services provided or to be provided. In case the service provided by a person falls within the scope of the taxable services and if such service is not fully exempted, the service tax is payable on the value of the taxable service received, subject to the eligible abatements, if any (please also see Q. No. 1.7 ) B. If you are availing the services of the service provider, please check:- a. Whether the service received by you is falling under the scope of any of the services where the recipient of the service is liable to pay Service Tax in terms of Section 68(2) of the Act read with Rule 2(d) of the Service Tax Rules, 1994 (Please also See Q. No.: 1.2 ). b. In case the service received by recipients of such service is falling under the scope of any of the taxable services defined under section 65 of the Finance Act, 1994, the re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee is not acceptable in accordance with the statute, the officer shall issue a show cause notice (SCN) proposing to determine the value as per the law. (iii) The SCN would be decided after providing reasonable opportunity of being heard to the assessee. ( Rule 4 of the Service Tax (Determination of Value) Rules, 2006 read with Section 67 of the Act) 1.9. What are the statutes governing the taxation relating to Service Tax? The Statutes governing the levy of Service Tax are as follows: (i) The Finance Act, 1994 - Chapter V -Section 64 to 96 I. (Also referred to as 'Act' in this book). This chapter extends to the whole of India except the State of Jammu and Kashmir. (ii) The Finance Act, 2004 Chapter VI -for levy of Education Cess @ 2% on the Service Tax. (iii) The Finance Act, 2007 - for levy of secondary and Higher Education Cess of 1% on service tax. (iv) The Service Tax Rules, 1994. (Also referred to as 'Rules' or 'STR, 1994' in this book). (v) The CENVAT Credit Rules, 2004 . (vi) The Export of Service Rules, 2005. (vii) The Service Tax (Registration of Special categories of persons) Rules, 2005. (viii) The Taxation of Services (Prov ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fer to the answer to Question No.2.15) 2.3. What is the meaning of an 'assessee' in relation to Service Tax? As per the sub-section (7) of Section 65 of the Finance Act, 1994 (Chapter V), 'assessee' means a person liable to pay Service Tax and includes his agent. 2.4. When should a prospective assessee obtain registration? i. When a person commences business of providing a taxable service, he is required to register himself within 30 days of such commencement of business[ sub-rule (1) of Rule 4 of Service Tax Rules, 1994] . ii. In case service tax is extended to a new service, an existing service provider must register himself, unless he is eligible for exemption under any notification, within a period of 30 days from the date of new levy [ sub-rule 5A of Rule 4 of the Service Tax Rules, 1994] . 2.5. What does the word "person" appearing in the definition of taxable service mean? The word "Person" shall include any company or association or body of individuals, whether incorporated or not. Thus, this expression includes any individual, HUF, proprietary firm or partnership firm, company, trust, institution, society etc. 2.6. What is the procedure fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ificate is required for services provided from different premises, declared in the application for centralized registration. 2.10. What is to be done when the existing assessee starts providing a taxable service not mentioned in the registration certificate? What is the process if the taxpayer stops providing services from a registered premises of stops providing a taxable service. He should intimate the jurisdictional Central Excise officer in writing, furnishing the name of taxable service he starts providing. No fresh documents are required for verification by the officer unless there is change in any other details given in the original or earlier application(s). In case the changes relates to deletion of any premises or taxable service, the assessee may file intimation on plain paper along with the copy of the registration certificate. 2.11. Is PAN allotted by the Income Tax Department a must for obtaining Service Tax Registration? Having PAN is essential because the Service Tax Code/Registration number is generated based on the PAN issued by the Income Tax Department. The PAN based Service Tax Code/ Registration number is a must for payment of service tax using ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ay be obtained from the nearest Central Excise Office/Service Tax Office. Service Tax can also be paid electronically, using e-payment facility. (Please refer para 3.16 to 3.25). 3.2. When is Service Tax required to be paid? 1. Payments through Bank: Category Frequency Due Dates In case of Individuals, Proprietary Firms Partnership Firms Quarterly as mentioned below ( i ) For Q.E. 30th June (ii ) For Q.E. 30th Sept. ( iii ) For Q.E. 31St Dec. ( iv ) For Q.E. 31st March -by 5th July -by 5th Oct -by 5th Jan. -by 31st March Others (e.g. Companies, Societies, Trusts etc.) Monthly By 5th of the month immediately following the month in which payments are received towards the value of taxable services. However, in case of March, the payment should be made before 31st March. 2. Electronic Payments through Internet: Category Frequency Due Dates In case of Individuals, Proprietary Firms Partnership Firms Quarterly as mentioned below:- ( i ) For Q.E. 30th June ( ii ) For Q.E. 30th Sept. ( iii ) For Q.E. 31St Dec. ( iv ) For ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e head of account into which the Service Tax amount is to be paid in respect of various services? Separate "Head of account" has been specified for each taxable service. This must be mentioned on G.A.R. 7 (previously known as TR-6) challan for proper accounting. (See Appendix-1). 3.6. What is TR-6 or GAR-7 challan? Where is it available? GAR-7 or TR-6 challan is the document for payment of service tax. GAR-7 or TR-6 challan is available in any stationary shop selling Government forms. The format is also given on web-site www.cbec.gov.in 3.7. Can the Service Tax be deposited in Non-designated banks? No. For payment of Service Tax, specific bank has been nominated for every Central Excise/Service Tax Commissionerate. If Service Tax is deposited in a Branch /Bank other than the nominated Bank / Branch, it amounts to non-payment of Service Tax [ Rule 6(2) of the STR, 1994 ]. In any case, a non-designated bank will not accept service tax challans. 3.8. Whether the payment of Service Tax is to be made for the billed amount or for the amount received? The Service Tax for a particular period is payable on the amount / value of taxable service rece ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion 68 of the Act or rules made thereunder, who fails to credit the tax or any part thereof to the account of the Central Government within the period prescribed, shall pay simple interest @13% per annum. Interest is payable for the period from the first day after the due date till the date of payment of any defaulted service Tax amount. [Refer to Section 75 of the Finance Act, 1994 ] 3.14. Can interest be waived, and by whom? Interest payments are mandatory in nature and the same can not be waived. 3.15. What are the penal consequences if the Service Tax is not paid or paid late? If a person who is liable to pay Service Tax fails to pay service tax, he shall pay in addition to such tax and interest in accordance with the provisions of Section 75 of the Act, a penalty which shall not be less than Rs.200/-for every day during which such failure continues or @2% of such tax per month, whichever is higher. However, the penalty amount payable shall not exceed the amount of Service Tax payable. (Refer to Section 76 of the Finance Act, 1994 ). 3.16. What is e-Payment of Central Excise and Service Tax? e -Payment is a payment made through which a Tax ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... site of Principal Controller of Accounts http//:pccacbec.nic.in or check with the local Central Excise/Service Tax office. 3.18. Who can opt for e-Payment? Any customer of the Bank, who is an assessee of Central Excise or Service Tax, can pay Indirect Taxes online using Internet banking service of Bank. (Refer Question No. 3.16) 3.19. How to get Internet banking facility of Bank? The customers of Bank can request this facility on prescribed application forms to any bank having internet banking facility. 3.20. Are there any geographical restrictions on Banks? No. Customer can effect payment from anywhere for the Commissionerate in which he is registered with, provided that particular bank is designated and authorized to collect revenue for that Commissionerate. 3.21. Up to what time in a day the e-Payments can be made? e -Payment can be made 24 hours a day using Internet banking service of Bank. Payment made up to 8 pm will be accounted on the same day. However payments effected after 8 pm will only be included in next working day's scroll by the Focal point Branch. So, to ensure timely payment, e-payment should be made latest by 8 p.m. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee has registered himself. [ Section 70 of the Act]. 4.6. What is e-filing of Service Tax Returns? The e-filing is a facility for electronic filing of Service Tax Returns through the Internet. 4.7. Who can file their Returns through Electronic medium? Any Service Tax assessee having a 15-digit Service Tax payer code can file return electronically. 4.8. What is the procedure for e-filing? (i) File an application to the jurisdictional Asst./Deputy Commissioner of Service Tax, specifying - -15-digit PAN based registration number (STP Code) -Valid e-mail address -so that the Department can send them their User ID and password to help them file their Return. (ii) Log on to the Service Tax e-filing home page by typing the address http://servicetaxefiling.nic.in in the address bar of the browser. (iii) Upon entering the Service Tax code, user ID and password, you will be permitted to access the e-filing facility. (iv) Follow the instructions given therein for filing the Returns electronically. (v) Obtain the acknowledgement. 4.9. Is filing of return compulsory even if no taxable service provided or received or no payments received during a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cial records maintained by him in the normal course of business, 5.2. Where from the Service Tax assessee can get the Forms such as ST-1, ST-3 etc? The Forms are available on the CBEC website and also at the Central Excise Range/Division/ Commissionerate Hqrs. offices. The forms are also available in the market sold by private publishers. 5.3. Can the Department ask for more information than what assessee is submitting to it in the Form ST-1 and ST-3? Yes. If it is felt necessary, the Department can call for additional information/ documents for scrutiny, as per Rule 6(6) of the STR, 1994 and Sec. 14 of the Central Excise Act, 1944 which is made applicable to Service Tax matters, as per Sec. 83 of the Finance Act, 1994. Rule 5A of STR, 1994 provides that every assessee, on demand, is required to make available to the central excise/service tax officer authorized by the Commissioner or the audit party deputed by the Commissioner or the Comptroller and Auditor General of India, within a reasonable time not exceeding fifteen working days from the day when such demand is made, or within such further period as may be allowed by such officer or the audit party, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er is a Banking company, the details at Sl. No (i) and (iii) are not necessary. In respect of the taxable services relating to the transport of goods by road, provided by the Goods Transport Agency, the service provider should issue a consignment note containing the following information ( Rule 4B of the STR, 1994 ): i. Serial Number ii. Name of the consignor and consignee iii. Registration no. of the vehicle iv. Details of the goods transported v. Details of the place of origin destination vi. Person liable for payment of Service Tax (consignor /consignee / GTA) 5.7. Is the amount of Service Tax charged from the client compulsorily to be indicated separately in the Bills / Invoices / Challans raised on him? Yes. It is mandatory to separately indicate the amount of Service Tax charged in the Bills/Invoices/ Challans raised on the clients, as per Section 12A of the Central Excise Act, 1944 which is made applicable to Service Tax, under Sec.83 of the Finance Act, 1994. Such mention of the Service Tax amount in the Invoice / Bill / Challans, would also facilitate the service receiver to avail the CENVAT credit of the Service Tax paid on the input ser ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d be filed within one year from the relevant date as prescribed in Section 11B of the Central Excise Act, 1944 which has been made applicable to Service Tax refund matters also. iii. Application should be accompanied by documentary evidence to the effect that the amount claimed as refund is the amount actually paid by him in excess of the Service Tax due and the incidence of such tax claimed as refund has not been passed on to any other person. 6.3. What is relevant date for calculation of limitation period in respect of filing refund claims relating to Service Tax? The "relevant date" for the purpose of refund as per section 11B of the Central Excise Act, 1944 which is applicable to Service Tax also, is the date of payment of Service Tax. Thus, the limitation period of one year is to be calculated from the date of payment of the Service Tax. 6.4 Is there any provision for interest for delayed payment of refunds? If any duty/tax ordered to be refunded under section 11B(2) of Central Excise Act, 1944, to any applicant is not refunded within three months from the date of receipt of application, interest at the applicable rate shall be paid, subject to con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ity may be arrived at by reverse calculation in the following manner. 1000 AV = ----------------X 100 = Rs. 889.996 (Rs. 890) 112.36 Amount of Service Tax + Education Cess Payable = Rs. 110 Note: If the recipient of service pays full billed amount later, the differential service tax must be paid forthwith. 8. Exemptions 8.1. What are the conditions of exemption to small scale service providers? Taxable services provided by the small scale service provider were exempted from whole of service tax leviable there-on upto the aggregate taxable value Rs.4 lakhs in any financial year of vide Notification No.06/2005-ST dated 01.03.2005 (effective from 01.04.2005). The exemption limit of aggregate taxable was been enhanced to Rs.8 lakhs vide Notification No.4/2007-ST dated 01.03.2007 (effective from 01.04.2007) and has been further enhanced to Rs.10 lakhs vide Notification No.8/ 2008-ST dated 01.03.2008 (effective from 01.04.2008). (i) Above exemption is not admissible to:- (a) taxable service provided by a person under a brand name or trade name, whether registered or not, of another person or (b) such value of taxable services ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not to be taken into account for determining the aggregate taxable value under the small scale exemption. 8.3 What is the meaning of "brand name" or "Trade name" in Para 8(i) (a) above? A "brand name" or "trade name" means brand name or trade name, whether registered or not i.e. to say, a name or a mark, such as symbol, monogram, logo, label, signature, or a invented word or writing which is used in relation to such specified services for the purpose of indicating or so as to 21 indicate a connection in the course of trade between such specified services and some person using such name or mark with or without any identification of the identity of that person. 8.4 How to determine the aggregate value of Rs 10 lakh under small scale exemption notification? The aggregate taxable value means the sum of total of first consecutive payments received during financial year towards gross amount, as prescribed under Section 67 of F.A. 1994 towards the taxable services. 8.5 Are there any other General exemptions? The following general exemptions from payment of whole of the amount of Service Tax are available for the Service Providers:- 8.5.1 Services provided to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rency including money changing by a banking company or financial institution including non-banking financial company or a bopdy corporate or a financial concern 17. Service of sale and purchase of foreign currency including money changing provided by a person other then those referred at S.No 16 18. Service of supply of tangible goods for use without transferring the right of possession and effective control 19. Clearing and forwarding service 8.6 Is there any exemption from payment of Service Tax if the receiver/provider of the service is the Central/State Government organization and Public Sector Undertakings? 8.6.1. No. There is no such exemption. All service providers, including the Central/State Government Organisations and the Public sector undertakings rendering the specified taxable service, are liable to pay Service Tax. 8.6.2. If a Government Department (sovereign)/public authorities performs any mandatory or statutory function under the provisions of any law and collect any fees, such activity shall be treated as activity purely in public interest and will not be taxable. 8.6.3 If such authority performs a service, which is not in the nature of sta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fficer in accordance with the provisions of this Chapter or rules made thereunder; or (3) appear before the Central Excise Officer, when issued with appearance to give evidence or to produce a document in an inquiry, An amount which may extend to five thousand rupees or two hundred rupees for every day during which such failure continues, whichever is higher, shall be liable to be imposed as penalty. [ Section 77(1) (d) of the Act] . vii. Person who is required to pay tax electronically, through internet banking, but fails to pay the tax electronically: An amount which may extend to five thousand rupees shall be liable to be imposed as penalty. [ Section 77(1)(d) of the Act ] viii. Person who issues invoice in accordance with the provisions of the Act or rules made thereunder, with incorrect or incomplete details or fails to account for an invoice in his books of account: An amount which may extend to five thousand rupees shall be liable to be imposed as penalty. [ Section 77(1)(e) of the Act ]. ix. Suppression of the value of taxable services: Penalty to an extent ranging from 100% to 200% of the Service Tax which was not levied or paid or erroneously refunded, can be im ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such service tax on the basis of his own ascertainment thereof, or on the basis of tax ascertained by a Central Excise/Service Tax Officer before service of notice on him and inform the Central Excise/Service Tax Officer of such payment in writing, in such a case show cause notice will not be issued. [Refer Section 73(3) of Finance Act, 1994 ]. However, sub-section (3) of Section 73 of Finance Act, 1994, is not applicable to the cases involving fraud or collusion or willful mis-statement or suppression of facts or contraventions of any of the provisions of Chapter V of the Finance Act, 1994 and the rules made thereunder with intent to evade payment of Service Tax [Refer sub-section (4) of Section 73 of Finance Act, 1994] . 10 Adjudication and determination of tax 10.1 What is meant by adjudication? 10.1.1 When show cause notices are issued under provisions of the Finance Act, 1994 charging any person for contravention of any provisions of the said Act and rules and/or notifications issued thereunder and penal action is proposed the competent officers of the Department adjudge the case and issue orders. This process is called adjudication. 10.1.2 O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty subordinate to the Commissioner of Central Excise in respect of Service Tax? What is the procedure for filing the Appeal? i. An assessee aggrieved by such order / decision may file an Appeal to the Commissioner (Appeals), in Form ST-4, in duplicate. ii. A copy of the order / decision appealed against should be enclosed. iii. The Appeal should be filed within 3 months from the date of receipt of the order/ decision. iv. There is no fee for filing an Appeal before the Commissioner of Central Excise (Appeals) [ Section 85 of the Act and Rule 8 of the STR, 1994] . 11.2 Can the time limit of three months for filing the appeal to the Commissioner (Appeals) be extended? If yes, under what circumstances? Yes. If the Commissioner (Appeals) is satisfied that the appellant was prevented by sufficient cause from presenting the Appeal within the statutory period of three months, he may allow the Appeal to be presented within a further period of three months. The law does not provide for further extension of time. [Proviso to Section 85(3) of the Act ]. 11.3 Can an Appeal be filed against the order / decision of the Commissioner of Central Excise or Commissioner (Appea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en defined in the CENVAT Credit Rules, 2004. (Refer Rule 2 ). 12.4 Is it compulsory that the inputs / capital goods are to be purchased only from the manufacturers for the purpose of availment of credit? No. The inputs/capital goods can be procured from the First stage and Second stage dealers also. Those dealers should have registered themselves with the Central Excise Department. The invoices issued by them should contain proper details about the payment of duty on those goods. (Refer Rule 9 of CENVAT Credit Rules, 2004 .) 12.5 What are the documents prescribed for availment of the CENVAT Credit? The documents on which CENVAT credit can be availed are as follows:- (i) Invoice issued by the manufacturers and his depot/ consignment agents (ii) Invoice issued by the Importer and his depot/consignment agents (iii) First stage and Second stage dealer registered with the Central Excise Department (iv) Bill of Entry (v) Invoice/Bill/Challan issued by the provider of input Services (vi) Invoice/Bill/Challan issued by the Input Service distributor. (vii) Certificate issued by the Appraiser of Customs in respect of the goods imported through Foreign Post O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Category of Persons) Rules, 2005 ]. 12.10 What are the records to be maintained by the persons availing credit? There is no specific format of records to be maintained. However, they have to maintain adequate records showing the details such as receipt, disposal, consumption and inventory of inputs and capital goods, the amount of credit taken and utilized etc. (Refer rule 9(5) of CENVAT Credit Rules, 2004 ). 12.11 What should be done, if an assessee is rendering both taxable services as well as exempted services, but the inputs and input services are common? 12.11.1 Separate accounts are to be maintained for the receipt, consumption and inventory of input and input service meant for providing taxable output service and for use in the exempted services. Credit should be taken only on that quantity of input /input services which are used for the service on which Service Tax is payable. (Ref. Rule 6 of Cenvat Credit Rules, 2004 ) 12.11.2 If separate accounts are not maintained, the provider of output service shall pay an amount equal to eight percent of value of exempted services or pay an amount equivalent to the CENVAT credit attributable to input/input ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... services are provided not in relation to business or commerce, it should be provided to a recipient located outside India at the time of provision of such service. However, where such recipient has commercial establishment or any office relating thereto, in India, such taxable services provided shall be treated as export of service only when order for provision of such service is made from any of his commercial establishment or office located outside India. [See list of services in Appendix - 4] (Ref. Rule 3(I)(iii) of Export of Service Rules,2005). Further conditions to be met for treating provisions of any taxable service as export of service are - i. such service is provided from India and used outside India; and ii. payment for such service is received by the service provider in convertible foreign exchange. [Ref. Rule 3(2) of the Export of Service Rules, 2005 ]. Thus, each transaction has to be seen individually to ascertain if it constitutes export of services, fulfilling the requisite parameters. 13.3 If export proceeds are received in Indian currency, will it be denied export benefit? If export proceeds are received in Indian currency, no export ben ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an one file claims for refund of service tax paid on taxable services used by the exporter of goods, allowed under Notification No 41/2007-ST 6-10-2007. ? The manufacturer-exporter has to file the claim for refund to the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, having jurisdiction over the factory of manufacture or warehouse The merchant exporter can file claim to the Assistant Commissioner/Deputy Commissioner of Central Excise having jurisdiction over his registered office or head office. In case the merchant exporter is registered with the department, he can file claim with the jurisdictional office he is registered with or in location where he is having his registered officer or head office. [For details please refer to CBEC Circular No 101/4/2008-ST dated 12-5-2008 ] 14 Service Tax on receipt of services from outside India [Import of services] 14.1 What is the statutory provision regarding taxing of services provided from outside India and received in India? Section 66A of the Finance Act, 1994, inserted with effect from 18.4.2006, provides that where any taxable service is provided or to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to business or commerce, to a recipient located in India. [See list of services in Appendix -4] (Ref. Rule 3(iii) of The Taxation of Services Rules 2006). Thus, each transaction has to be seen individually to ascertain if it constitutes import of services, fulfilling the requisite parameters. 15. Advance Ruling 15.1 What is meant by advance ruling? Advance ruling means the determination, by the Authority, of a question of law or fact specified in the application regarding the liability to pay duty/service tax in relation to service proposed to be provided, by the applicant. Activity means service to be provided. (See Section 96A of the Finance Act, 1994 ) 15.2 What is the scheme of advance rulings? Authority for Advance Rulings for Excise and Customs is meant to provide binding ruling on important issues so that intending investors will have a clear-cut indication of their duty/tax liability in advance. Since advance rulings are not appealable under the Finance Act, 1994, it assures the applicant of the finality of the tax liability and hence freedom from spending time, energy and money in legal battles which mostly become long-drawn. 15.3 Who ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ai there are exclusive Service Tax Commissionerates . The contact informations in respect of all the locations are given below:- Sr.No. Commissionerate Phone No. E-mail Address / Web site 1 Ahmedabad 079-26305087 [email protected] http://sevakarahmedabad.nic.in 2 Delhi 011-23378711 [email protected] http://delhiservicetax.gov.in 3 Bangalore 080-22245739 [email protected] http://servicetaxbangalore.gov.in 4 Chennai 044-24330840-42 [email protected] http://servicetaxchennai.gov.in 5 Kolkata 033-22428922 [email protected] http://kolkata-servicetax.gov.in 6 Mumbai 022-22060619 [email protected] 7 Ahmedabad 079-26309079 [email protected] 8 Bhopal 0755-2765208 [email protected], 9 Bhubaneshwar 0674-2581135 [email protected] 10 Chandigarh 0172-2704180 [email protected] 11 Kerala 0484-2394100 [email protected] ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce / Life Insurance 16.07.2001 / 16.08.2002 00440169 00440170 00440171 00440298 00440426 10 Banking Other Financial Services also includes foreign exchange broking and purchase or sale of foreign currency 16.07.2001 00440173 00440174 00440175 00440298 00440426 11 Beauty Parlour 16.08.2002 00440209 00440210 00440211 00440298 00440426 12 Broadcasting 16.07.2001 00440165 00440166 00440167 00440298 00440426 13 Business Auxiliary Service including promotion or marketing or all games of chance whether or not conducted online i.e. lottery, lotto, bingo etc. 01.07.2003 00440225 00440226 00440227 00440298 00440426 14 Business Exhibition Service 10.09.2004 00440254 00440255 00440256 00440298 00440426 15 Business Support Service 01.05.2006 00440366 00440367 00440368 00440298 00440426 16 Cable Operator 16.08.2002 00440217 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Development Supply of Content 01.06.2007 00440414 00440415 00440416 00440298 00440426 35 Dredging 16.06.2005 00440310 00440311 00440312 00440298 00440426 36 Dry Cleaning 16.08.2002 00440221 00440222 00440223 00440298 00440426 37 Erection, Commissioning or Installation 01.07.2003 00440233 00440234 00440235 00440298 00440426 38 Event Management 16.08.2002 00440197 00440198 00440199 00440298 00440426 39 Fashion Designer 16.08.2002 00440213 00440214 00440215 00440298 00440426 40 Forward Contract Services 10.09.2004 00440282 00440283 00440284 00440298 00440426 41 Franchise Service 01.07.2003 00440237 00440238 00440239 00440298 00440426 42 General Insurance 01.07.1994 00440005 00440006 00440120 00440298 00440426 43 Health Club Fitn ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 40052 00440053 00440298 00440426 62 Packaging Service 16.06.2005 00440326 00440327 00440328 00440298 00440426 63 Pandal Shamiana Service 10.09.2004 00440054 00440055 00440056 00440298 00440426 64 Photography 16.07.2001 00440129 00440130 00440131 00440298 00440426 65 Port Service 16.07.2001 00440177 00440178 00440179 00440298 00440426 66 Processing Clearing Houses in relation to securities, goods and forward contracts 16.05.2008 00440442 00440443 00440446 00440298 00440426 67 Public Relations Service 01.05.2006 00440374 00440375 00440376 00440298 00440426 68 Rail Travel Agent 16.08.2002 00440201 00440202 00440203 00440298 00440426 69 Real Estate Agent / Consultant 16.10.1998 00440104 00440105 00440106 00440298 00440426 70 Recognized Association-g ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 00440195 00440298 00440426 87 Supply of tangible goods 16.05.2008 00440445 00440447 00440448 00440298 00440426 88 Survey Exploration of Minerals 10.09.2004 00440270 00440271 00440272 00440298 00440426 89 Survey and Map Making 16.06.2005 00440314 00440315 00440316 00440298 00440426 90 T.V. radio Programme Production Services 10.09.2004 00440286 00440287 00440288 00440298 00440426 91 Technical Testing Analysis, Technical Inspection Certification 01.07.2003 00440249 00440250 00440251 00440298 00440426 92 Telecommunication Service 01.06.2007 00440398 00440399 00440400 00440298 00440426 93 Tour Operator except for the use of educational bodies. 01.09.1997 00440063 00440064 00440065 00440298 00440426 94 Transport of goods by Air 10.09.2004 00440266 00440267 00440268 004402 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s mandap keeper in such cases where services provided include catering services, that is, supply of food alongwith any service in relation to use of a mandap. This exemption shall apply only in such cases where the mandap keeper also provides catering services, that is, supply of food and the invoice, bill or challan issued indicates that it is inclusive of the charges for catering service. The invoice, bill or challan issued indicates that it is inclusive of charges for catering services. Explanation.- The expression "hotel" means a place that provides boarding and lodging facilities to public on commercial basis. 60 60 2 3 (n) (i) Services provided or to be provided to any person, by a tour operator in relation to a package tour. Explanation.- The expression "package tour" means a tour wherein transportation, accommodation for stay, food, tourist guide, entry to monuments and other similar services in relation to tour are provided by the tour operator as part of the package tour to the person undertaking the tour. (ii) Services provided or to be provided to any person, by a tour operator in relation to a tour, if the tour opera ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such plant, machinery or equipment. This exemption is optional to the commissioning and installation agency. Explanation.- The gross amount charged from the [ recipient of service] 5 shall include the value of the plant, machinery, equipment, parts and any other material sold by the commissioning and installation agency, during the course of providing erection, commissioning or installation service 33 6 4 (zzp) Transport of goods by road in a goods carriage. 25 7 (zzq) Commercial or Industrial Construction This exemption shall not apply in such cases where the taxable services provided are only completion and finishing services in relation to building or civil structure, referred to in sub-clause (c) of clause (25b) of section 65 of the Finance Act. Explanation.- The gross amount charged shall include the value of goods and materials supplied or provided or used by the provider of the construction service for providing such service. 33 8 (zzt) Catering This exemption shall apply in cases where,-(i) the outdoor caterer also provides food; and (ii) the invoice, bill or c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ulpable mental state 2 9D Relevancy of statements under certain circumstances 3 11B Claim for refund of duty 4 11BB Interest on delayed refunds 5 11C Power not to recover duty of excise not levied or short levied as a result of general practice 6 12 Application of the provisions of Act No.52 of 1962 to Central Excise Duties 7 12A Price of goods to indicate the amount of duty paid thereon 8 12B Presumption that the incidence of duty has been passed on to the buyer 9 12C Consumer Welfare Fund 10 12D Utilisation of the Fund 11 12E Powers of Central Excise Officers 12 14 Power to summon persons to give evidence and produce documents in inquiries under this Act 13 14AA Special audit in cases where credit of duty availed or utilized is not within the normal limits, etc. 14 15 Officers required to assist Central Excise Officers 15 33A Adjudication procedure 16 35F Deposit, pendin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... act Rule 3(ii) Category -II Sr.No. Clause Service Category 1 a Stock Broker 2 f Courier 3 h Custom House Agent 4 i Steamer Agent 5 j Clearing Forwarding 6 l Air Travel Agent 7 m Mandap Keeper 8 n Tour Operator 9 o Rent-a-cab 10 s Chartered Accountant 11 t Cost Accountant 12 u Company Secretary 13 w Security Agency 14 x Credit Rating Agency 15 y Market Research Agency 16 z Underwriter 17 zb Photography 18 zc Convention Centre 19 zi Video Production 20 zj Sound Recording 21 zn Port Service 22 zo Authorised Service Station 23 zq Beauty Parlour 24 zr Cargo Handling 25 zt Dry Cleaner 26 zu Event Manager ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... zg Fax 13 zh On-line Information 14 zk Broadcasting 15 zl Insurance Auxiliary 16 zm Banking and Other Financial Services 17 zp -----omitted 18 zs Cable Operator MSO 19 zx Life Insurance 20 zy Insurance Auxiliary to Life Insurance 21 zz Rail Travel Agent 22 zzb Business Auxiliary Service 23 zze Franchise Service 24 zzj ------omitted 25 zzk Forex Broker (other than in relation to Banking) 26 zzr Intellectual Property Service 27 zzu Programme Producer 28 zzz Transport through Pipeline 29 zzzc Survey and Map making 30 zzzg Mailing List Compilation Mailing 31 zzzi Registrar to an issue 32 zzzj Share Transfer Agent 33 zzzk ATM Operation, Maintenance Management 34 zzzl Recovery Agent 35 zzzm Sale of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... non-banking Financial company or any other body corporate in relation to banking and other financial services. (zm) 9 Omitted (w.e.f.10.09.2004) (zp) 10 by a insurance auxiliary to a or by an actuary, or intermediary or insurance intermediary or insurance agent, in relation to insurance auxiliary services concerning life insurance business; (zy) 11 Commissioning or installation by agency in relation to commissioning or installation; (zzd) 12 maintenance or repair by any person in relation to maintenance or repair (zzg) 13 technical testing to any person, by a technical testing and analysis agency, in relation to technical testing and analysis; (zzh) 14 foreign exchange broker by a foreign exchange broker, Including an authorized dealer in foreign exchange or an authorized money changer, other than a banking company or a financial institution including a non-banking financial company or any other body corporate or commercial concern referred to in sub-clause (zm) (zzk) 15 by a industrial or construction to any person, by, in relatio ..... X X X X Extracts X X X X X X X X Extracts X X X X
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