Imposition of Service Tax on new services consequent to enactment of Finance Bill, 2003-reg.

Service tax expansion: new service categories taxed with specified exemptions and detailed valuation and scope clarifications.

Service tax is extended to newly specified services and to expanded classes of existing services from the date appointed by the Central Government. The circular sets out category-specific exemptions and clarifications: call centers and medical transcription centers are exempt; commission agents are exempt but consignment agents remain taxable; vocational and certain training institutes are exempt or conditionally exempt; maintenance, commissioning and technical certification services are taxable with rules on valuation and invoicing; sale value of goods separately invoiced may be excluded; non-resident service receipts paid by recipients permit registration and credit on documentary proof.