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    <title>ABATEMENT UNDER SERVICE TAX PROVISIONS</title>
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    <description>Abatement rules allow specified services to be taxed on prescribed reduced proportions of gross charges subject to conditions on invoicing and inclusion of component supplies. Key examples: mandap/holding of convention with catering taxed on 60% when bills show catering; outdoor catering on 50%; pandal/shamiana on 70%; renting of a cab on 40%; tour operators taxed at 25%, 10% or 40% depending on package, accommodation-only arrangement, or other services; erection/installation and construction services generally taxed on 33% with exclusions and invoicing conditions. Practical compliance issues include CENVAT credit interaction and billing at mixed rates.</description>
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    <pubDate>Mon, 14 Feb 2011 15:26:22 +0530</pubDate>
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      <title>ABATEMENT UNDER SERVICE TAX PROVISIONS</title>
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      <description>Abatement rules allow specified services to be taxed on prescribed reduced proportions of gross charges subject to conditions on invoicing and inclusion of component supplies. Key examples: mandap/holding of convention with catering taxed on 60% when bills show catering; outdoor catering on 50%; pandal/shamiana on 70%; renting of a cab on 40%; tour operators taxed at 25%, 10% or 40% depending on package, accommodation-only arrangement, or other services; erection/installation and construction services generally taxed on 33% with exclusions and invoicing conditions. Practical compliance issues include CENVAT credit interaction and billing at mixed rates.</description>
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