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: VAT RATES :: list of goods taxed at 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: due date for vat payment :: TAX RATES - GOODS TAXABLE @ 4% :: cpt :: Central Excise rule to resale the machines to a new company :: form 3cd :: articles on VAT and GST in India :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: empanelment :: VAT Audit :: ACCOUNTING STANDARDS :: ACCOUNTING STANDARD
« Service Tax »
 GST to enhance ease of doing business, says Assocham
 Govt sources say cess is a better option than high tax rate
 Goods and Services Tax: There should not be more than three grades of rates, says Chidambaram
 Chidambaram says there cannot be multiple tax slabs in GST
 Service tax officials transferred for favouring realtor
 GST, a challenge and opportunity for accounting professionals’
 Service Tax On Hotels And Restaurants – Recent Delhi High Court Judgment
 GST Council discusses 4-tier tax rate, cess on demerit goods
 Why you shouldn’t miss these three simple tax saving options beyond Section 80C
 Determination of value for transactions between the Related parties under GST Laws.
 Higher collections can offset GST losses

Train travel, passport fee, capitation fee may come under service tax net
September, 03rd 2011

Travel by train, passport fee, capitation fees to education institutions and non-compete fees given by companies may come under tax net as the government considers a 'negative list' model to tax services, which will boost its tax revenues significantly.

Most countries follow the negative list model-where a list of exempted services is specified and every other service is taxable-to tax services, but India follows a positive list model, or naming the services that are taxed.

The Central Board of Excise and Customs has now proposed switching over to the negative list model in a concept paper that invites comments from all stakeholders.

The Geneva Intl Org. MBAThe only MBA in the world for International Organizations & NGOs
A decision on adoption of this model and composition of the list will be taken after taking into account views of all stakeholders, a finance ministry official said. "This paper is being put out only to elicit views of public on the concept and what services should be kept out of service tax net," he said.

The concept paper said, "Positive list has the advantage of definitiveness, which is an essential pre-requisite for a good taxation law. However, this very advantage starts getting eroded as the number of services increases."

A negative list-based service tax represents a fundamental change in India's approach to taxation in services. And it can lead to a significant jump in tax revenues as many more services come under tax net.

According to the concept paper, only 16% of the service sector, which contributes almost 63% of the gross domestic product, is taxed at present. About 20-25% of the service sector contribution to the GDP may be taxed under the negative list regime, it said.

The move comes as a part of the government's preparation of a roadmap for transition towards goods and services tax, or GST, which will mark a comprehensive indirect taxes reform.

The concept paper was prepared based on inputs revived from industry and other stakeholders. The negative list model has also been proposed by states in their model of GST.

At present 116 services are taxed by the central government. States do not yet have power to tax services.

The paper has listed 27 categories of services in the negative list under nine heads: government services, social welfare, public utilities, agriculture and animal husbandry, transport, financial services, construction, health and education.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Bath SEO Company Birmingham SEO Company Bradford SEO Company Brighton and Hove SEO Company Bristol SEO Company Cambridge SEO Company Canterbury SEO Company Carlisle SEO Company Chester SEO Company Chichester SEO Company Coventry SEO Compan

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