Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: due date for vat payment :: ACCOUNTING STANDARD :: ACCOUNTING STANDARDS :: Central Excise rule to resale the machines to a new company :: TAX RATES - GOODS TAXABLE @ 4% :: articles on VAT and GST in India :: VAT RATES :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: form 3cd :: VAT Audit :: list of goods taxed at 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TDS :: cpt :: empanelment
 
 
Service Tax »
 GST Compensation Cess rates decided in the GST Council Meeting held
 10 most used services and how Goods and Services Tax will impact them
 System geared up for GST from July 1
  What is GST?
 Government allays fears on implementation of Goods and Service Tax
 GST pangs for 3 months only, people will adjust to new way of life soon
 GST, an old new tax
 Pay tax once on the input, deduct it from the output
 GST Network to begin accepting fresh registrations from June 25
 Indian GST is significantly unique, but is it better?
 GST example of national integration

Government announces service tax exemption for rice
February, 21st 2014

Finance Minister P Chidambram today announced that service tax would be abolished on rice from the staple's loading to storage stage.


The decision comes following intense pressure from Tamil Nadu Chief Minister Jayalalithaa who had shot off a letter recently to Prime Minister Manmohan Singh seeking his personal intervention in the issue.

Rice was originally exempt from service tax. However, later the Finance Ministry had said only paddy is agri- produce, while rice is a processed item. A market expert said most traders have not paid service tax on the staple since its imposition.

Presenting the interim budget for the 2014-15 fiscal, Chidambram said: "By virtue of the definition of 'agricultural produce' in Finance Act 2012, read with the Negative List, storage or warehousing of paddy was excluded from the levy of service tax. Rice was not.

"The distinction is somewhat artificial. Hence, I propose to exempt loading, unloading, packing, storage and warehousing of rice from service tax," he said.

Welecoming the decision, All India Rice Exporters Association Executive Director Rajan Suderasan said, "The clarification was long overdue. Levy of service tax on rice on entire processing chain had made life miserable to small traders. It is a sigh of relief."

Recently in a letter to the Prime Minister, Jayalaithaa had said, "The interpretation given by the Ministry of Finance defies logic and common sense.

She had also said that the levy of service tax on rice as "discriminatory and completely unjust" against people in south and east where the grain is the staple food.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Multi-level Marketing MLM India Affiliate Marketing Affiliate Marketing Software MLM Software MLM Solutions Multi level marketing solutions MLM Servi

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions