PLEASE CONFIRM SERVICE TAX 16% APPLICABLE FROM APRIL'15 OR MARCH'15

[nandankumar roy]

PLEASE INFORM REVISED SERVICE TAX 16% APPLICABLE DATE WHETHER IT IS FROM 2015-16 OR FROM MARCH'15 . WHAT WILL BE EFFECT IN CASE OF FROM MARCH '15 ON ONLINE SERVICETAX RETURN2014-15.PL HELP.

REGARDS,

N K ROY

[Mahir S]

Sir,

The Service Tax rate is being increased from 12% plus Education Cesses to 14%. The ‘Education Cess’ and ‘Secondary and Higher Education Cess’ shall be subsumed in the revised rate of Service Tax. Thus, effective increase in Service Tax rate will be from existing rate of 12.36% (inclusive of cesses) to 14%.

The new Service Tax rate shall come into effect from a date to be notified by the Central Government after the enactment of the Finance Bill, 2015.

Till the time the revised rate comes into effect, the levy of ‘Education cess’ and ‘Secondary and Higher Education cess’ shall continued to be levied in Service Tax.

[MUKUND THAKKAR]

sir,

Agree with Naveed comments,

will get clarification up to second week of May.16. with the effect of 2% of swachh Bharat Cess.

[MUKUND THAKKAR]

please read May 15 I/o May 16.

AI Summary

Clarification Sought on Effective Date for Revised 16% Service Tax Rate and Impact on 2014-15 Online Returns A participant inquired about the effective date for the revised 16% Service Tax, questioning whether it applies from March or April 2015 and its effect on online service tax returns for 2014-15. A respondent clarified that the Service Tax rate is increasing from 12.36% to 14%, with the Education Cess and Secondary and Higher Education Cess being subsumed. The new rate will take effect following the enactment of the Finance Bill, 2015. Another participant agreed and mentioned awaiting further clarification regarding an additional 2% Swachh Bharat Cess by mid-May 2015.