TIOL-DDT 543 · the untouched capture
Rendered as it looked. Links and images are disabled in this view; the file itself is untouched.
<html> <head> <meta http-equiv=Content-Type content="text/html; charset=windows-1252"> <title>Taxindiaonline's DDT 402</title> </head> <body> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font color="#663399" size="3">TIOL-DDT 543</font><br> 01.02.2007<br> Thursday</b></font></p> <p align=center><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font color="#006600">Medicaments – abatement increased to 42.5% </font></b></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The abatement given to medicaments was originally 35%. This was increased to 40% by Notification No. 4/2005-C.E. (N.T.), dated 23-2-2005. Now this is increased to 42.5%.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><u><a href="mailto:vijaywrite@taxindiaonline.com">NOTIFICATION NO. 2 /2007-CENTRAL EXCISE (N.T) Dated : 31<sup>st</sup> January, 2007</a></u></font></p> <p align=center><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font color="#006600">Exemption from Special </font></b><font color="#006600"><b>CVD to specified goods imported from Nepal</b></font></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Notification No. 78/2006-Customs, dated the 8th August, 2006 is amended to add some more items to the list of items for exemption</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><u><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=23&filename=notification/custom/2007/ctariff07_010.htm">NOTIFICATION NO.10/2007-Cus.Dated : January 25, 2007</a></u></font></p> <p align=center><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font color="#006600">Export of pulses to Sri Lanka – Procedure prescribed</font></b></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The DGFT has prescribed the procedure to be followed for export of pulses to Sri Lanka. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(i) Private Traders only shall be allowed to export Pulses. The Private Traders shall submit their applications in AayaatNiryaat Form to the DGFT (Headquarters Office), UdyogBhavan, New Delhi-110011 within 30 days from the date of issue of this Public Notice.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(ii) The application shall be accompanied by valid export order/Irrevocable Letters of Credit from the Sri Lankan buyer.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(iii) Applications received within the stipulated period shall be considered on merit for grant of permission to export of pulses and shall be subject to any other condition, so imposed.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><u><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=47&filename=notification/dgft/2006/dgft06pn080.htm">PUBLIC NOTICE No. 80 (RE-2006)/2004-2009, Dated: January 19, 2007</a></u></font></p> <p align=center><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">Service Tax on lawyers – strike tomorrow</font></strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Bar Council of Tamil Nadu has joined other lawyers associations in calling for a token court boycott against the reported move to impose service tax on lawyers. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The All-India Bar Association (AIBA), the Madras High Court Advocates Association (MHAA) and the Madurai Bar Association are against the Central Government for planning to impose 12 per cent service tax on lawyers, and have decided to strike work on February 2. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The grounds the lawyers would advocate:-</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(i) The nature and purpose of the legal profession would not allow itself to be brought under the ambit of service tax.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(ii) Advocates should not be treated like businesspersons or any other professional. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(iii) Lawyers should not be forced to pass on the 12 per cent additional burden to the litigants.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(iv) People in authority should not wait till strike occurs. Strike takes place when other mechanisms fail.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(v) By no stretch of imagination can it be said assistance provided by lawyers to their clients will amount to rendering a `service' to warrant imposition of the tax.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(vi) Lawyers only assist the court in dispensation of justice and such assistance cannot be described as a service.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(vii) Clients and not lawyers would pay a tax on legal services.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(viii) A legal services tax is not a tax on lawyers, but a tax on those who seek legal advice.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(ix) Lawyers may pay the tax bill, but the taxes and the cost of administering the payments will be passed on to the clients in the form of higher bills.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(x) A legal services tax is a disincentive for citizens to seek legal advice.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(xi) A legal services tax would impose an additional levy on the same transaction and add to the burden of those already experiencing financial problems.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(i) Clients seeking legal advice on dissolution of marriage, bankruptcy, debt collection and similar matters are those who can least afford to pay an additional charge.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">(ii) A tax on legal services would ironically impose an additional tax on those who were looking for ways to reduce their tax burden.</font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">On a personal note, as a lawyer, I would prefer to be taxed. If a barber can be taxed, there seems to be no reason why a lawyer cannot be taxed and as all my clients are Central Excise or Service Tax assessees, they would be eligible to take credit of Service Tax paid on the fee paid to me only after they pay my fees, I hope to get paid promptly and the credit would really be an incentive for the clients to pay my fees. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Lawyers should welcome the move to impose a tax on their service – <b>service</b> is of course a bad name to what they provide to their clients.</font></p> <p align=center><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">If Lawyers are taxed, can doctors be far behind?</font></strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Indian Medical Association has launched a strong protest against a likely imposition of Service Tax against the ‘<b>service’</b> provided by doctors. Between lawyers and doctors, who evade taxes most? Difficult to assess as statistics will not be available but it is almost axiomatic that these two professionals are the most blatant evaders of tax and between the two, doctors are the worse offenders. But it should be understood that while about 5% of the doctors and lawyers earn all the money, the rest of 95% of these professionals earn far less than barbers and washer-men. But if barbers and washer men are to be taxed, so should lawyers and doctors </font></p> <p align=center><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#006600">How about taxing our God- men?</font></strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">God men do provide the service of mental peace and perhaps they should be taxed and maybe Sai Baba will become the biggest Service Tax assessee. Just imagine a Superintendent summoning Sai Baba and recording a statement from him. The Statement may turn into ashes before the Show Cause Notice is issued. </font></p> <p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Until tomorrow with more DDT </font></p> <p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Have a nice day. </font></p> <p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Mail your comments to</font> <font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="mailto:vijaywrite@taxindiaonline.com">vijaywrite@taxindiaonline.com</a></span></font></p> </body> </html>