Service tax rate on extra services

[Guest]

Please tell me current service tax rate on extra services.

[Guest]

Presently, there is no category called 'extra services' under the Service tax law. Thus, the nature of service should be looked into to see under which category the service rendered would fall. If the service is in the nature of support, it would fall under Business support service etc. Nevertheless, presently service tax rate is same for all categories of service i.e. 12% (with education cess and higher education cess as applicable).

AI Summary

Service classification: 'extra services' not recognised; classify by nature to determine service tax liability under uniform rate. There is no distinct taxable category called 'extra services'; the service must be classified by its nature to determine the applicable service category (for example, Business Support Service where the activity is support in nature). The uniform service tax rate applies across service categories, with education cess and higher education cess as applicable.