Latest Expert Exchange Queries

Make your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
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: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARDS :: VAT RATES :: articles on VAT and GST in India :: empanelment :: form 3cd :: Central Excise rule to resale the machines to a new company :: cpt :: TDS :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4% :: VAT Audit :: ARTICLES ON INPUT TAX CREDIT IN VAT :: due date for vat payment :: ACCOUNTING STANDARD
 
 
News Headlines »
 How to file tax return if you have two Form 16s
 10 things you should know about Form 26 AS
 How to file income tax return without Form 16
 How to rectify income tax returns
 Income-tax (21st Amendment) Rules, 2017
 Deadline for filing income tax return nears; here are 10 common mistakes that you must avoid
 All you need to know about form 26AS
 How to file income tax return?
 7 changes that affect income tax return filing this year
 How To File Income Tax Return (ITR) Online For FY2016-17? Last Date July 31
 Last date for filing income tax return approaches: What is Form 26AS? How it can help you claim refunds

Govt urged to scrap service tax on inland haulage, THC overseas
July, 19th 2006

The Engineering Export Promotion Council (EEPC) has sought the immediate withdrawal of service tax on inland haulage and terminal handling charges (THC) overseas on the plea that the tax is "unjustifiable."

Speaking to Business Line, Mr Rakesh Shah, Chairman of the EEPC, said that the council has already represented the matter to the Union Commerce Minister, Mr Kamal Nath.

He was particularly referring to the levy of service tax, as per a provision in the Finance Act 1994, in a situation where taxable services have been provided India and the provider of such services was an overseas agent not located in India.

He said that while service tax on ocean freight and air freight has been waived, the freight element provided by foreign agents overseas for inland haulage (rail/road, riverine mode, especially in the case of some land-locked countries), and THC at overseas destinations attract service tax of 12.24 per cent.

Describing such levies as being counter-productive to Government efforts in making Indian exports price competitive, he said that vendors based in foreign countries often push for a complete package of services that involve storage, warehousing, clearing & forwarding operations, and haulage from port to their factories/establishments.

He said that levy of service tax including educational cess on such services was illogical. "It goes against the Government's very stand that tax and duties are not to be exported."

Stating that Indian engineering exports, in particular, were becoming uncompetitive to the extent of eight per cent, he said: "There should not be any service tax on post-production export-related services."

Mr Shah expressed disappointment over the recent DGFT notification in respect of the Target Plus scheme, where the duty credit entitlement of 10 per cent and 15 per cent benefiting those who had achieved incremental exports of 25 per cent or more in f.o.b. value of their exports during licensing year April 1, 2005 to March 31, 2006 has been deleted with retrospective effect.

He also said that exporters generally factor in all Government incentives into their costing.

"If such efforts are nullified by a notification after a gap of 15 months, and that too, retrospectively, it has a demoralising effect, and also goes against accepted trade practices."

Mohan Padmanabhan

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Outsourcing Test Solutions Software Testing Software Bug Testing Software Issues Tracking Software Issue Fix Software Code Optimization Database Design Optimization

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