Service tax Applicability of foreign exchange profit

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..... Sir, I am a tour operator. I received USD from Foreign countries and i remit the service tax asper the receipt of USD date. But profit arises at the time of converting USD into Indian rupee. these profit is taxable or not?. or its shown as foreign exchnage profit in P L account - Reply By Vivek Harsh - The Reply = In my view Service tax liability may arise. - Reply By Naveed S - The Rep .....

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..... ly = My personal view is that Profit is surely taxable; but not under any Service tax head as no Services provided/received herein. Any Chartered Acccountant may please advise under which heading the same can exactly and properly be shown in the Balance Sheet/P L Account.. - Reply By Pradeep Khatri - The Reply = No service tax will be applicable on the profit amount. But on currency c .....

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..... onversion charges service tax will be applicable. - Reply By Dilip Darji - The Reply = Dear sir. You might have earned something towards Currency Conversion Cgharges but you did not sent any Invoice/bill to your customer and therefore there is no question of making payment of Service Tax on profit eared on converson of currency. Service Tax is on service provided and not on the profit earned.Y .....

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..... ou may have to pay Income tax on such profit but not the Service Tax. - Reply By Naveed S - The Reply = Thanks a lot Mr. Dilipji for your views on the query... - Service tax Applicability of foreign exchange profit - Query Started By: - Joycee Joseph Dated:- 29-2-2012 Service Tax - Got 5 Replies - Service Tax - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion T .....

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..... ax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax .....

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