TaxTMI 
TaxTMI 
Sir,
At present what is the rate of Service Tax ?
Is the new rate declared in Budget 2015 for service tax applicable now or whet this new rate will become applicable and at which rate ?
Thanks
Rate of service tax
13 Mar 2015 
2 Replies 
3035 Views Asked by
Service tax rate increase subsuming education cesses takes effect after passage of the Finance Bill and formal notification.
The Finance Bill, 2015 proposes a consolidated service tax rate that subsumes Education Cess and Secondary and Higher Education Cess; the revised consolidated rate takes effect only after enactment of the Finance Bill and notification of a commencement date by the Central Government. Until enactment and notification, the education cesses continue to be levied on taxable services and the existing effective rate inclusive of cesses remains applicable. (AI Summary)
The Finance Bill, 2015 proposes a consolidated service tax rate that subsumes Education Cess and Secondary and Higher Education Cess; the revised consolidated rate takes effect only after enactment of the Finance Bill and notification of a commencement date by the Central Government. Until enactment and notification, the education cesses continue to be levied on taxable services and the existing effective rate inclusive of cesses remains applicable. (AI Summary)