Indirect Tax proposal
Indirect Tax Budgetary Proposal Highlights
Goods & Services Tax
Goods and Services Tax expected to be introduced on 1st April, 2011
Service Tax
Rate of tax on services retained at 10% to create foundation for GST
Service tax net widened by adding eight new services (mentioned below)
o Promotion, Marketing or Organising of Games of Chance (including lottery, Bingo, Lotto) Service
o Health Service
o Maintenance of Medical Records of Employees of a Business Entity
o Promotion of a ‘brand’ of goods, services, events, business entity, etc. service
o Permitting Commercial Use or Exploitation of Any Event Service
o Electricity Exchange Service
o Services of Transferring Temporarily or Permitting the Use or Enjoyment of any Copyright
o Special services provided by builder to the prospective buyers such as providing preferential location or external or internal development of complexes on extra charges.
Amendment in expansion in scope of eleven existing services
Ø Air Passenger Transport Service
Ø Information Technology Software Service
Ø Commercial Training or Coaching Service
Ø Sponsorship Service
Ø Construction of Complex service Commercial or industrial construction service
Ø Renting of immovable property\
Ø Airport Services Port Services Other Port Services
Ø Auctioneer’s Service
Ø Management of Investment under ULIP Service
Withdrawal of existing exemption in below taxable service
Ø Transport of Goods by Rail Service
Ø Commercial Training or Coaching Service
Ø General Insurance Service
There are few other amendment in service tax for those update pl leave comments I will update you
Central Excise
Standard rate of excise duty partially hiked from 8% to 10% on all nonpetroleum products
Customs
Peak Customs Duty rate maintained at 10%
Indirect Tax Budgetary Proposal Highlights
Goods & Services Tax
Goods and Services Tax expected to be introduced on 1st April, 2011
Service Tax
Rate of tax on services retained at 10% to create foundation for GST
Service tax net widened by adding eight new services (mentioned below)
o Promotion, Marketing or Organising of Games of Chance (including lottery, Bingo, Lotto) Service
o Health Service
o Maintenance of Medical Records of Employees of a Business Entity
o Promotion of a ‘brand’ of goods, services, events, business entity, etc. service
o Permitting Commercial Use or Exploitation of Any Event Service
o Electricity Exchange Service
o Services of Transferring Temporarily or Permitting the Use or Enjoyment of any Copyright
o Special services provided by builder to the prospective buyers such as providing preferential location or external or internal development of complexes on extra charges.
Amendment in expansion in scope of eleven existing services
Ø Air Passenger Transport Service
Ø Information Technology Software Service
Ø Commercial Training or Coaching Service
Ø Sponsorship Service
Ø Construction of Complex service Commercial or industrial construction service
Ø Renting of immovable property\
Ø Airport Services Port Services Other Port Services
Ø Auctioneer’s Service
Ø Management of Investment under ULIP Service
Withdrawal of existing exemption in below taxable service
Ø Transport of Goods by Rail Service
Ø Commercial Training or Coaching Service
Ø General Insurance Service
There are few other amendment in service tax for those update pl leave comments I will update you
Central Excise
Standard rate of excise duty partially hiked from 8% to 10% on all nonpetroleum products
Customs
Peak Customs Duty rate maintained at 10%
9 comments:
Dear Abhinav,
Good Work done.
Kindly eloberate Expansion of Services specially Software And Construction Services.
All the best.
Regards
D.V.Thakurdesai
software sservice
Service Tax would be
applicable even if the
service provided is used
for any purpose not
necessarily business or
commerce.
Construction of Complex service & Commercial or industrial construction service
Unless the entire consideration for the property is paid after
the completion of construction (i.e after issuance of completion
certi cate by the respective authority), the activity of
construction would be deemed to be a taxable service.
Thankur Sahab Please find below Direct Tax Amendment relating to TDS on Rent
The most important amendment is
Increase of Threshold limit from 120000 to 180000 means if total rent paid in a year is 180000 or less no need of TDS deduction
Second is relaxation that rent paid will be allowed if TDS on it deducted and paid on or before due date of filing return of income u/s 139(1)
Thanks
The scope of Services applicability of Service Tax on Rent Impaact of Union Budget Pl explain in detail
Regards
D.V.Thakurdesai
Thanks
Thanks
Pl explain budget impact on Services Applicability of Service Tax on Rent
Regards
D.V.Thakurdesai
Thanks
Thanku Sahan below is Service tax Proposal Highlights
The definition of “Renting of Immovable Property Service” is being amended with retrospective effect from 1st June, 2007
What is “Renting of Immovable Property Service”
Section 65(105)(zzzz) - The definition of “Renting of immovable
property” provides explicitly that the activity of ‘renting’ itself is a taxable service. This change
is being given retrospective effect
from 1st June, 2007.
Accordingly, the landlord will now be covered under the new definition w.e.f. 1st June, 2007 irrespective of the Delhi high court judgment in the case of
Home Solutions Retail India Ltd.
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