Service Tax - Retrospective Exemption For Mid-Day Meal Scheme
A Non-Government Organization registered under any Central Act or State Act, under the Centrally assisted Mid-Day Meal Scheme, has been granted exemption from service tax vide Notification No. 47/2010 - Service Tax dated 03.09.2010 for providing the taxable service of outdoor catering. This exemption is applicable with effect from 03.09.2010.
This means that the NGOs were liable to pay the Service Tax for the period before 03.09.2010.
Now the Government has retrospectively exempted the taxable service of outdoor catering referred to in sub-clause (zzt) of clause (105) of section 65 of the Finance Act, if the same has been provided by a Non Government Organization registered under any Central Act or State Act, under the Centrally assisted Mid-Day Meal Scheme, from the whole of service tax leviable thereon under section 66 of the Finance Act, during the period 10.09.2004 to 02.09.2010.
AD HOC EXEMPTION ORDER No , dated: August 8, 2011 and CBEC F.No.137/94/2010-CX.4, Dated: August 9, 2011