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: TDS :: TAX RATES - GOODS TAXABLE @ 4% :: empanelment :: VAT RATES :: form 3cd :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: articles on VAT and GST in India :: list of goods taxed at 4% :: ACCOUNTING STANDARD :: VAT Audit :: Central Excise rule to resale the machines to a new company :: ARTICLES ON INPUT TAX CREDIT IN VAT :: due date for vat payment :: cpt
 
 
News Headlines »
 How to time your buys to have best of two tax regimes
 Here's why you must always check Form 26AS before filing tax return
 Want to file your income tax return after June 30? Having Aadhaar card is a must
 Timeline for filing of tax returns extended by two months
 Top 5 common mistakes to avoid while filing your income tax returns
 GST rollout on July 1: Deadline for filing tax returns extended
 What is GST?
 Income-tax (15th Amendment) Rules, 2017?
 Banks get a breather as GST Council extends deadline for tax filing
 Income Tax filing: Your easy guide in 7 steps
 E-filing income tax return: How individuals can upload any ITR using excel utility

Service tax may mean rise in prices
June, 22nd 2007

Prepare to shell out more when you go shopping at a mall or department store, thanks to the ever-widening service tax net.

From June 1, a service tax of 12.36 per cent has been introduced on rent of Rs 8 lakh or more per annum from leased commercial properties. The landlord will, naturally, charge the new service tax to the tenant, who is likely to pass the burden down to his customers.

The move may affect customers in shopping malls and departmental stores. Shops in malls and departmental stores typically have areas ranging from 500 sq ft to 10,000 sq ft in a city where rent for commercial properties varies from Rs 100 to Rs 400 per sq ft per month.

Mumbai Service Tax Commissioner S J Singh said his department estimated additional revenue of Rs 300 to Rs 400 crore from the move. He said many landlords had already come forward to register with the department, while help had also been sought from the stamp duty office to get a list of properties.

But unlike landlords, who simply have to recover the additional amount from the shopkeepers and give a rent receipt that separately mentions the service tax, traders are opposing the move. Shopkeepers said the new burden would have to be passed on to customers, who  face an increase in the price of certain goods.

This is ridiculous, said Mohan Gurnani, president of the Federation of Associations of Maharashtra. Nobody will pay from his pocket. The shopkeepers are in business, not in charity, he said.

Calling the implementation of service tax unjustifiable, Ashok Patel, president of the Fort Merchants Welfare Association said shopkeepers in the city already pay about 40 types of licence fee and taxes, all of which are factored into the price of goods on sale.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Development Software Programming Software Engineering Custom Software Development Requirement Based Software Development Software Solutions Software Serv

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