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of <h1>Service Tax Rate in Works Contract Composition Scheme Increased from 2% to 4% per Rule 3 Amendment, 2008.</h1> The Central Government has amended the Works Contract (Composition Scheme for Payment of Service Tax) Rules, 2007, through Notification No. 7/2008-Service Tax, dated March 1, 2008. The amendment involves a change in rule 3, sub-rule (1), where the service tax rate under the composition scheme is increased from two percent to four percent. This amendment takes effect from the date of its publication in the Official Gazette. The original rules were established in May 2007.
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