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: ACCOUNTING STANDARD :: VAT RATES :: ACCOUNTING STANDARDS :: TAX RATES - GOODS TAXABLE @ 4% :: cpt :: due date for vat payment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: list of goods taxed at 4% :: Central Excise rule to resale the machines to a new company :: empanelment :: VAT Audit :: form 3cd :: articles on VAT and GST in India :: TDS :: ARTICLES ON INPUT TAX CREDIT IN VAT
 
 
« Service Tax »
 GST Network to begin accepting fresh registrations from June 25
 Indian GST is significantly unique, but is it better?
 GST example of national integration
 6 reasons you need not fear the GST regime
 Tax return filing extension on GST may not be enough
 GST: ‘Tech readiness, tax administration key challenges’
 GST return filing rules relaxed for Jul-Aug, July 1 rollout
 GST Council gives return filing breather to India Inc for 2 months
 All eyes on 18 June as GST Council meets to iron out niggling issues
 GST Council's June18 meet to finalise e-way bill, anti-profiteering rules
 Valuation of Tax liabilities Under GST Regime

Govt to focus on small cities for service tax collection
May, 30th 2016

In the wake of service tax doing better and garnering more revenues to the exchequer, the government is planning to give more importance to its collection from small towns and cities.

At present more than half of the service tax collected in the country, comes from Mumbai and Delhi. Last month, the authorities collected a little over Rs 18,000 crore as service tax, of which, more than Rs 9,000 crore came from Delhi and Mumbai.

“Since this segment is doing well, we want to broaden the net for more collection,” a Finance Ministry official said.

Service tax is levied on service providers on certain service transactions. The service providers collect it from the consumer. Categorised under indirect tax, it came into existence under the Finance Act, 1994.

The effective service tax rate will now be 15% after imposition of the krishi kalian cess on all taxable services from June 1. The rates of service tax have increased at the fastest pace since last year. Prior to 2015, the service tax rate in the country was 12.36%. With the rollout of Goods and Services Tax, the rate of service tax is expected to go up further.
The government will now concentrate on cities like Jaipur, Lucknow, Bhopal, Chandigarh and Bhubaneswar, where business is done in volumes, but service tax collection is not as expected.

Besides, the government is also trying to broaden the base of the service tax. Currently, banking and financial services, telecommunications and general insurance fetch the maximum amount of service tax.

“The plan is to garner equal amount from other taxable services too,” the official said.
Whereas, other direct or indirect tax collection often fall short of the target, service tax has always been met and sometimes exceeded.

Service tax collections have exceeded the target six times in the last 10 years. While customs duty collections have outperformed only four times, excise duty collections have never met the target in the past 10 years.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Enterprise Resource Planning Solutions ERP Solutions Enterprise Resource Planning Software Solutions ERP Software Solutions Supply Chain Management Solutions SCM Solutions Supply Chain Management Software Solutions SCM Software Solutions Enterprise Resource Planning Solutions India ERP Solutions India Enterprise Resource Planning Software Solutions India ERP Software Solutions India Supply Chain Management Solutions India SCM Solutions India Supply Chain Management Software Solutions India SCM Software Solutions India

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