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: form 3cd :: empanelment :: cpt :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: due date for vat payment :: Central Excise rule to resale the machines to a new company :: articles on VAT and GST in India :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES :: VAT Audit :: TDS :: list of goods taxed at 4% :: ACCOUNTING STANDARD :: ACCOUNTING STANDARDS
 
 
News Headlines »
 Is government tapping your phone?
 Income tax department to use analytics to look for discrepancies in bank accounts
 GST Council fails to break deadlock over indirect tax regime, next meet on Dec 11 and 12 to hammer out differences
 Invoking Writ Jurisdiction For Income Tax Matters
 How to file income-tax returns online
 How Income Tax Returns Are Scrutinised
 All About New Income Disclosure Scheme to make Demonetisation successful
 Your deposit may draw income tax notice
 Accepting payment under IDS 2016
 New disclosure scheme could see 50% tax and 4-year limit on cash use for unaccounted deposits
 Pay 50% tax on unaccounted deposits, or 85% if caught, says Modi government

Notice to firms for claiming service tax abatement
July, 12th 2006
There appears to be lack of clarity regarding availability of 75 per cent abatement under service tax for categories like coroporates, cooperative societies and partnership firms, which are not goods transport agencies. 
 
Sources said the service tax departments in Thane, Mumbai and Kolkata had begun issuing show-cause notices to companies on the grounds that they had underpaid the service tax under the category of goods transport service by wrongfully claiming abatement. 
 
Under the present norms, service tax under the category transport of goods by road has been imposed on the goods transport agency and the service recipients (consignor or consignee) of seven specified categories including a factory registered under the Factories Act, companies, societies, cooperative societies, excise dealers and partnership firms. 
 
The confusion has arisen because the revenue department had on January 1, 2005 provided an abatement of 75 per cent of the gross amount charged to a customer by a goods transport agency. 
 
An abatement of 75 per cent means that the service tax can be levied only on the 25 per cent of the gross amount charged for providing this taxable service. 
 
The service tax directorate later on March 30, 2005 notified that the abatement benefit would not be available to the seven categories of persons who are liable to pay service tax ie consignor or consignee. This notification was, however, withdrawn in April, 2005. 
 
When contacted, service tax expert JK Mittal said the action of the department prima facie appeared to be overreaching as the law provided abatements, and did not prevent a person liable to pay service tax for availing abatement, subject to fulfillment of conditions under the law.
 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Reengineering Software Re-engineering Software Reverse Engineering Software Reverse Development Software Change Modulation Software Conversion Software Re-creation Software Re-development

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