« Top Headlines » Open DEMAT Account in 24 hrs  ITR Filing: 6 Ways to Get Exemption on Income Tax  Income Tax Return Filing: 10 Mistakes To Avoid When Filing ITR For AY 2024-25  Old vs New Tax Regime: Who should move to the New Tax Regime from the old one?  Income Tax Calculator FY 2023-24: How To Know Your Tax Liability Online On IT Dept's Portal?  BackBack Income Tax Act amendment on cards on tax treatment of MSME dues  ITR-1, ITR-2, ITR-4 forms for FY 2023-24 available for e-filing. Check details here  Income tax slabs FY 2024-25: Experts share these 8 benefits for taxpayers in new income tax regime  How To File ITR Online - Step by Step Guide to Efile Income Tax Return, FY 2023-24 (AY 2024-25)  Old or new tax regime for TDS on salary? This post-election 2024 event will impact your tax planning  What Are 5 Heads Of Income Tax?  Income Tax Dept releases interim action plan for FY25 on tax collection, refund approvals «  Service tax on IUC may take a while... CAs get half a breather on service tax... » No service tax on defence construction in Cantt area July, 14th 2006 Theres good news for contractors undertaking construction for the Defence forces. Such construction, if located within cantonment premises, will not attract service tax. The revenue department is expected to issue a clarification soon on the issue.    Sources said a fresh clarification is being issued since the representation sent by the Armed Forces regarding applicability of service tax did not specifically mention where such construction would take place.    The Army (which had made the representation) has informed the revenue department that 90 per cent of the construction is within cantonment premises. The law clearly states that the tax will not be applicable on layout of premises for which no permission is required from an authority. Since the cantonment area is owned by the Defence forces, it does not require any authoritys permission to undertake such construction. Hence, all such construction will not be liable to tax, the sources said.    However, construction undertaken by contractors for personal use of Defence personnel like those undertaken on behalf of the Army Welfare Housing Society will continue to attract the provision of the tax.    The Army had earlier this year sought to know whether contractors who construct residential complexes under married accommodation project for Indian Army personnel should be charged to service tax.    It had also sought to know whether the tax could be levied on residential complexes which are for personal use of service personnel.    The CBEC had in June examined the issue and concluded that in the absence of any exemption to government organisations, service tax at applicable rates would be chargeable on such construction.    It was of the view that exclusion from service tax provided under the definition of residential complex in the Finance Act 1994 for complexes constructed by a person directly engaging any other person and where the construction of such a complex is intended for personal use was not applicable in this case.