Need Tally
for Clients?

Contact Us! Here

  Tally Auditor

License (Renewal)
  Tally Gold

License Renewal

  Tally Silver

License Renewal
  Tally Silver

New Licence
  Tally Gold

New Licence
 
Open DEMAT Account with in 24 Hrs and start investing now!
« Service Tax »
Open DEMAT Account in 24 hrs
 Government Proposes Tax Relief for Offshore Funds and Electronics Contract Manufacturing: Key Changes Explained
 Income Tax Refund Adjustment Against Old Tax Demands: What AY 2026–27 Taxpayers Should Know Before Claiming a Refund
 ITR filing 2026: Here are the 7 income tax notices you may receive after filing your return and what they mean
 ITR filed and verified? Here's how the Income Tax Department spots mismatches—and when it sends a notice
 ITR Filing 2026: CBDT Introduces 6 Major E-Filing Portal Upgrades Ahead of Peak Tax Return Filing Season
 ITR Filing 2026: Sold Shares, Property or Crypto? Key Tax Rules You Must Know Before Filing Your Income Tax Return
 ITR filing 2026 Secondary address field is now mandatory here s how it can help taxpayers
 New GST Rates: When will changes in GST rates take effect? What's the GST on medicines? | Top FAQs answered
 New Income Tax Bill 2025: 3 key changes that could make ITR filing easier
 Tax e-filing: New banks enabled for online tax payments via e-pay tax service Check the entire list of banks
 Income Tax Bill 2025: Changes under the new bill that taxpayers must know. Check FAQs

Keep clinical trial services out of service tax ambit
August, 26th 2014

The Association of Biotechnology Led Enterprises (ABLE) has requested the government to consider keeping clinical trial services out of the ambit of service tax.

As per the Union budget, these services, which were previously exempt, would now attract service tax of 12.36 per cent. The move, industry players say, would increase the cost of drug development in the country and lead to a corresponding increase in the price of the tested drugs.

"Drug development in India is already facing challenges on several fronts following which the number of global and local clinical trials has come down substantially.

The decreased number of trials will impact availability of drugs in the medium-to-long term and will increase dependence of Indian patients on imported drugs. We have urged for keeping these services out of the service tax for another five years," ABLE said in a statement here.

On July 28, the CDSCO (the Drug Organisation in India) had invited suggestions on its notification for improving its clinical trials management through application of IT. Though a laudable step, ABLE and Association of Contract Research Organisations ( ACRO) India have cautioned the DCGI (Drug Controller of India) to preserve confidentiality of the patients.

The industry body has also requested to retain the existing CTRI website for clear visibility of clinical trials in the country.

ABLE President Dr P M Murali said, "India's pharma and biotech industry has the potential to generate combined revenues of more than $ 100 billion by 2025 from approximately $ 25 billion as of today. To realise this quantum of growth, the right policy framework needs to be put in place. The sector must be provided with incentives through a number of tax-friendly measures to make it globally competitive."

Home | About Us | Terms and Conditions | Contact Us
Copyright 2026 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting