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: due date for vat payment :: TAX RATES - GOODS TAXABLE @ 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT RATES :: Central Excise rule to resale the machines to a new company :: TDS :: list of goods taxed at 4% :: cpt :: articles on VAT and GST in India :: ACCOUNTING STANDARD :: ACCOUNTING STANDARDS :: VAT Audit :: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: form 3cd
 
 
News Headlines »
 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
 Deadline to pay property tax in old currency extended
 Cabinet clears amendments to Income Tax Act
 Have you got interest on your income tax refund?
 New income tax rules to curb unaccounted cash

Service tax on IUC may take a while
July, 14th 2006
The issue of applicability of service tax on interconnect usage charges may take a while to be resolved. 
 
The revenue department has once again sought inputs from the Cellular Operators Association of India (COAI) on the issue before finalising its stance. 
 
Cellular operators have resisted the attempts of the tax department to bring interconnect usage charges (IUC) under service tax. The IUC refers to the charge payable by one service provider to the other for free flow of calls across different telecom networks. 
 
No technical service or any other service is at present rendered by one telecom operator to another. If there is no interconnection between telecom operators, then subscribers of say MTNL or BSNL would not be able to speak to Bharti or Hutch subscribers. 
 
IUC charges are part of the total subscriber bill collected by service providers. Service tax is already paid by service providers on the carriage charge and termination charge. The levy of service tax on IUC would be tantamount to charging of service tax twice for the same call, a COAI official said. 
 
The COAI has also pointed out that there will be no revenue gain to the government from the levy of service tax on the IUC since the payment of service tax on this will be set off against the output service tax liability. 
 
Demand for payment of service tax on the IUC charges only creates administrative hassles and because there is no revenue gain to the government it only increases inefficiencies in the economy, the association has said.
 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - About Us

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