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        Customs, DGFT & SEZ

        Budget 2007 - Service Tax – Changes in Existing Exemption

        February 28, 2007

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        Threshold limit of Rs. 4 lakhs exemption has been increased to Rs. 8 lakhs with effect from 1-4-2007. [Notification No. 4/2007-Service Tax dated 01.03.2007].

        Correction in Export of Services Rules, 2005. Sub Rule (2) of Rule 3 has been substituted with effect from 1-3-2007 [Notification No. 2/2007-Service Tax dated 01.03.2007].

        Service tax exemption threshold increased, widening relief for small service providers; Export of Services Rules amendment corrected procedural provision. Increase in the service tax exemption threshold expands relief to smaller service providers, effective from the notified commencement date; and Sub rule (2) of Rule 3 of the Export of Services Rules, 2005 has been substituted by notification, correcting the export of services regulatory provision effective from its notified commencement date.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                Service tax exemption threshold increased, widening relief for small service providers; Export of Services Rules amendment corrected procedural provision.

                                Increase in the service tax exemption threshold expands relief to smaller service providers, effective from the notified commencement date; and Sub rule (2) of Rule 3 of the Export of Services Rules, 2005 has been substituted by notification, correcting the export of services regulatory provision effective from its notified commencement date.


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