What is tax service tax law?

What is tax service tax law?

Definition: Service tax is a tax levied by the government on service providers on certain service transactions, but is actually borne by the customers. It is categorized under Indirect Tax and came into existence under the Finance Act, 1994. were also included in the list of services.

What is service tax and how is it charged?

A service tax is a tax that is levied by the Government of India on services that are provided by a service provider. It is an indirect tax under the Finance Act, 1994. Service tax can be paid via the G.A.R. 7. wherein you can walk into the branch and pay your tax.

Is service tax payable on salary?

Conclusion: No service tax applicable to salary paid to employees under the secondment agreement as persons seconded to assessee working in the capacity of employees and payment of salaries etc was made to such employees by group companies only for disbursement purposes and hence employee-employer relationship exist …

Who introduced service tax?

Service tax was an indirect tax levied by the government on services offered by service providers. Introduced under Section 65 of the Finance Act, 1994, service tax was on July 2017 replaced by Goods and Services Tax (GST), which subsumed the various types of indirect taxes.

What are the features of service tax?

The salient features of levy of service tax are:

  • Scope: It is leviable on taxable services ‘provided’ or ‘to be provided’ by a service provider.
  • Rate: It is leviable @ 12% of the value of taxable services.
  • Taxable services: Service tax is leviable only on the taxable services.

What are the uses of service tax?

Service tax was paid to the government in exchange for different services received from service providers. Though the tax was paid by service providers, it was recovered from customers who bought or availed of the taxable services.

What is service tax in India with example?

2009 the rate of service tax is 10% on gross value of the taxable service plus 2% Education Cess on the service tax amount and 1% Secondary Higher Education Cess on the service tax amount. Example: Suppose the value of taxable service is Rs. 100. Service tax @10% will be Rs.