26 KEY CHANGES IN SERVICE TAX
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1. Krishi Kalyan Cess @ 0.5% on gross value of taxable services (from 01.06.2016) Total ST rate @ 15%.
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2. AC Bus service by Road Transport Corporation taxable @ 6% (from 01.06.2016).
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3. Rate of ST for the package tour increased from 3.625% to 4.35%.
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4. ST on foreman commission at 10.15%.
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5. Rate of ST for sale of flats increased from 3.625% to 4.35%.
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6. Rate of ST for transport of goods by Rail in container other than by IR increased from 4.35% to 5.8%.
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7. Rate of ST for transport of used household increased from 4.35% to 5.8%.
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8. Assignment of radio-frequency spectrum and subsequent transfers thereof taxable.
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9. Senior advocate service liable to service tax.
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10. Transport of passengers ropeway, cable car or aerial tramway made liable for ST.
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11.Interest rate reduced to 15% (if ST not collected) and 24% (if ST collected).
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12.Due date for issue of SCN extended from 18 months to 30 months.
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13.The monetary limit for prosecution cases enhanced to Rs.2 Crores.
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14.Dispute resolution scheme for the cases pending before Commissioner (Appeals).
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15.New levy on services exempted only if amount received and invoice raised before the notified date.
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16.Spl. Exemption for construction canal, dam or other irrigation works for the period 01.07.2012 to 29.01.2014.
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17.Restoration of exemption for construction of non-commercial buildings for the contracts enter prior to 01.03.2015 for the period upto 31.03.2020.
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18.Spl. Exemption for constriction of ports and airports for the period from 01.04.2015 to 31.03.2020 for the contracts entered prior to 01.03.2015.
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19.Construction under House For All (Urban) Mission / Pradhan Mantri Awas Yojana (PMAY), exempted.
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20.Construction of low cost houses up to a carpet area of 60 sq.m per house under Govt. scheme exempted from service tax.
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21.Levy of Central Excise duty/CVD and service tax on IT Software made mutually exclusive.
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22.Services provided by the Indian Institutes of Management (IIM) exempted.
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23.Business Entity receiving any service from government to pay service tax.
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24.Business entity located in India to pay service tax on ocean freight availed by foreign shipping line.
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25.HUF and One person company (<50L T/o) to pay on quarterly basis.
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26.Annual returns to be filed by service provider by 30th Nov every year.
