Latest Amendments In Service Tax After Budget 2009
Recent Amendments in
• Newly added service
• Transport of Goods by Rail
• Transport of (i) Coastal Goods and
(ii) Goods through Inland Water including
• Legal Consultancy Service
• Cosmetic and Plastic Surgery Service
Extended Or Altered in
• Manufacture of “excisable goods” (as defined in the
Central Excise Act) are excluded from the purview of
Business Auxiliary Service.
• “Information Technology Software service” is being
amended to replace the word ‘acquiring’ with the word
‘providing’ (appearing in SL. No. (iv) and (v) of the
definition) – r.e.f 16-5-2008.
• Stock Broker service excludes sub-broker from its ambit.
• Cenvat Credit Rules, 2004
• Rule 6(3) is being amended to prescribed that a
provider of both taxable and exempted services, who
does not maintain separate accounts of inputs, shall
pay an amount equal to 6% value of exempted
services instead of 8%.
• Rule 3(5B) is being amended so as to provide that a
service provider shall pay back the amount of credit
taken on inputs/capital goods fully written off.
• Not. 1/2002 – ST dated 1-3-02
• Scope enlarge by extending the applicability of
service tax provisions “to installations, structures and
vessels in the entire Continental Shelf and Exclusive
Economic Zones of India.
• Vehicle bearing “Contract Carriage Permit”.
• Club or Association service provided to FIEO and
specified Export Promotion Councils till 31-3-2010.
• Banking and other financial services/ foreign exchange
• Not. 41/2007 dated 6-10-2007 amended
by introducing two Notifications dated
• Transport of good by road and commission paid to
foreign agents have been exempted from service
tax if export is liable on reverse charge basis.
• Present cap of 10% on commission agency
charges remained, the exporter will have to pay the
service tax on amount of commission in excess of
Revamped in Not. 41/2007
ST dated 6-10-2007
• “Terminal handling Charges” added in eligible
• Time limit of refund claim is being increased to 1 yr
from date of export.
• Self certification is being introduced to ensure faster
sanction and disbursement.