Exemption limit - Two services under same business

[Satish Goyal]

In case of renting service, initial limit of Rs. 8.00 is available. What would happen if the assessee is providing another taxable service under his business totalling to Rs. 8.00 lacs plus.

AI Summary

Clarity on Service Tax Exemption: Tax Due from First Rupee if Combined Services Exceed Rs. 8 Lakhs Limit. An individual inquired about the service tax exemption limit when providing two services under the same business, specifically if one service exceeds Rs. 8.00 lakhs. One respondent explained that if the previous year's taxable services did not exceed Rs. 8 lakhs, the first Rs. 8 lakhs of receipts are exempt, with tax payable on the balance. Another respondent referenced a notification stating that the exemption applies to the aggregate value of all services, meaning if one service exceeds Rs. 8 lakhs, tax is due from the first rupee on the other service.