Information on Service Tax

Rate of Tax

The Rate of Service Tax on all the services under the Service Tax acts is 6%.

Taxable Person/Licensing

Any Taxable person, who carries on business of providing taxable service and on crossing the threshold limit if any, must apply for a license. The term “person” includes an individual, a firm, a society, an association, a company and every other juridical person. No fee is payable for the issuance of a license.

A complete list of Taxable Services is as follows:

Department Code

Taxable Services

          601

Supplying MMT inside Hotel

          602

Supplying MMT outside Hotel

          603

Supplying room to stay / sleep

          604

Corkage, towel charge & cover charge services

          605

Supplying room for Meeting / Cultural performances / Fashion Shows

         606

Health Service

         607

Massage Service

         608

Supplying Escort to Social and Couple Dance

         609

Sport and Recreation/Picnic Service

         610

Preparation of Insurance Policy

         611

Telecommunication Service

         612

Credit Card Service

         613

Customs clearance of Goods/Commodity Services

         614

Supplying automobile parking space

         615

Speed Courier/Shipment Service

         616

Transport Service

         617

Security / Guard Service

         618

Professional Services

         619

Accounting Services

         620

Juridical / Legislative Services

         621

Engineering Professional Services

         622

Architectural Services

         623

Surveyor / Assessor / Valuator / Real Estate Agent Service

         624

Consulting Services

         625

Veterinary Services

         626

Automobile lease/rental Services

         627

Administrative services

         628

Advertising Services

         629

Golf game services

         630

Corporate Protection and Security

        631 - 644

Reserved

        645

Tax on service apart from those stated above

        646

Outdoor gathering / event services

Assessable value

Service Tax is calculated on Assessable Value. The Assessable Value is the difference of the Total Service charge and Expenses.

Expenses

Expenses include those which incur while providing services i.e. postage, conveyance etc.

 


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