Notification No. 13/2013-Service Tax

[swaraj kumar]

Dear Sir,

The brief of Notification No. 13/2013-Service Tax is as follows:

As per notification no. 25/2012-ST dated 20.06.2012 under entry no. 9A service provided in relation to skill development programmers shall be exempt from service tax w.e.f. 10.09.2013. Under this entry, following services shall be exempt from levy of Service Tax;

Any services provided by-

1. the National Skill Development Corporation (NSDC) set up by the Government of India;
2.  a Sector Skill Council approved by the National Skill Development Corporation;
3.  an assessment agency approved by the Sector Skill Council or the National Skill Development Corporation;
4.  a training partner approved by the National Skill Development Corporation or the Sector Skill Council

in relation to

1. the National Skill Development Programme implemented by the National Skill Development Corporation; or
2. a vocational skill development course under the National Skill Certification and Monetary Reward Scheme; or
3. any other Scheme implemented by the National Skill Development Corporation.

 Then my query is : In connection with services provided by the Skill Council they receive a numbers of services from the different consultants say for example for developing course material, identifying training partners and other services and for which Skill Council will pay consultancy fees. Then my question, whether service providers of Skill Council will charge service tax to Skill Council or not. If yes i.e. Service provider of Skill council charging service tax then Skill Council is eligible for refund of service tax, if yeas what will be the procedure.

Kindly clarifies the above issue in the light of provision of service tax by referring Section/Rule/Notification.

Thanks & Regards

CA Swaraj Kumar

Mob. 9933884087

AI Summary

Do Skill Development Council Service Providers Need to Charge Service Tax? Clarifications on Exemptions and Refunds. A query was raised regarding whether service providers to the Skill Development Council need to charge service tax, and if so, whether the Council is eligible for a refund. The notification exempts certain services related to skill development from service tax. One response suggested consulting the Service Tax Department for clarification. Another response indicated that service providers might claim exemptions under the notification, referencing a specific circular for further guidance. A third response clarified that while the National Skill Development Council provides exempt services, it is liable for tax on input services, and refunds are not allowed under the Cenvat Credit Rules.