service tax on sub brokerage

[rajul begani]

I would like to know whether amount recd as sub brokerage liable to service tax under condition

A) sub brokerage Amt. is less than 10 Lakhs

B) Sub brokerage Amt. is more than 10 lakhs

[JAMES PG]

As per Mega Exemption Notitification No 25/2012 dated 20th June, 12 services provided by  sub-broker or an authorised person to a stock broker is exempted from Service Tax levy

[rajul begani]

thank u sir

AI Summary

Service tax exemption for sub-broker services to stock brokers removes tax liability on sub-brokerage payments in specified transactions. Services provided by a sub-broker or an authorised person to a stock broker are exempt from service tax under the applicable exemption notification, so sub-brokerage payments received for those services are not liable to service tax.