New Provisions in Service Tax effective from 1.7.2012
CLAUSES (C), (F), (G) and (I) of Section 143 of the Finance Act 2012 inserted certain new provisions in the Service Tax Statute as follows:
C. A new section 65B: Definitions which are now called Interpretations: actionable claim, advertisement, agriculture, agricultural extension, agricultural produce, Agricultural Produce Marketing Committee or Board, aircraft, airport, amusement facility, Appellate Tribunal, approved vocational education course, assessee, associated enterprise, authorised dealer of foreign exchange, betting or gambling, Board, business entity, Central Electricity Authority, Central Transmission Utility, courier agency, customs station, declared service, electricity transmission or distribution utility, entertainment event, goods, goods transport agency, India, information technology software, inland waterway, interest, local authority, metered cab, money, negative list, non-taxable territory, notification, person, port, prescribed, process amounting to manufacture or production of goods, renting, Reserve Bank of India, securities, service, Special Economic Zone, stage carriage, State Electricity Board, State Transmission Utility, support services, tax, taxable service, taxable territory, vessel, works contract are defined/interpreted.
F. New Sections inserted:
a. 66B: Charge of Service Tax: at the rate of twelve per cent on the value of all services, other than those services specified in the negative list, provided or agreed to be provided in the taxable territory by one person to another and collected in such manner as may be prescribed.
b. 66C.: Determination of place of provision of service.
c. 66D: Negative list of services.
d. 66E: Declared Services
e. 66F: Principles of interpretation of specified descriptions of services or bundled services. (a.k.a Classification)
G. Explanation (b) to section 67 omitted: This clause defined “money”. Now that "money" finds a definition in Section 65 B, maybe this is redundant here.
H. New Section 68 Amended to provide for payment of a part of the Service Tax by the provider and a part by another person, like recipient.
The above changes were to come into force from a date to be notified by the Government. Now the notified date is 01.07.2012.
Notification No. , Dated: June 05, 2012