SERVICE TAX ON JOB WORK AS PER BUDGET 2017

[Rajeev Khulbe]

GOOD EVENING TO ALL MY EXPERT.

PLEASE CLEAR MY DOUBT REGARDING SERVICE TAX ON JOB WORK DONE FOR EXCISABLE UNIT.SIR BEFORE ANNOUNCING BUDGET 2017. IF ANY INDIVIDUAL/CO. /FIRM DOING JOB WORK FOR EXCISABLE UNIT THEN NO SERVICE TAX ADDED BY SERVICE PROVIDER.BUT SIR AS PER ANNOUNCING IN BUDGET 2017 REGARDING SERVICE TAX ON JOB WORK. SIR CAN YOU PLEASE TELL ME THAT WHAT CHANGES IN SERVICE TAX ON JOB WORK. IN BUDGET.

AI Summary

Service tax on job work moved from negative list to exemption, preserving no net tax change for excisable processes.
Service tax on job work for excisable units was moved from the negative list to an exempted-services notification, retaining the exemption where the principal manufacturer pays appropriate excise duty; the statutory definition of "process amounting to manufacture or production of goods" is linked to processes on which excise is leviable under the Central Excise Act, and the change is effective from enactment.