Service tax - Show Cause Notices issued to various NSE Members of Association for recovery of Service Tax on Transaction charges of NSE, SEBI fees, DEMAT charges, Stamp Duty - reg.

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....t of Revenue  (Central Board of Excise & Customs) New Delhi Dated: September17, 2010 Subject: Service tax - Show Cause Notices issued to various NSE Members of Association for recovery of Service Tax on Transaction charges of NSE, SEBI fees, DEMAT charges, Stamp Duty - reg. Kindly refer to your letter F. No.V/30-32/CCO/S. Tax/2009 dated 13.04.2010 on the subject mentioned above....

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....tegral part of the taxable value and are includible in the value. It is not relevant that various expenditure or costs are separately indicated in the invoice or bill issued by the service provider to his client". Para 4.1.8 states that "the service provider in the course of providing any taxable service may incur certain expenditure or cost as a pure agent of the client. The service provider seek....

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....e conditions specified in rule 5(2). 4. Since the Stamp duty and Security Transaction Tax, are the liability of the buyer/seller of securities and the broker pays the same acting as a Pure Agent the same are not includible in the taxable amount in terms of Rule 5(2) of the Service Tax (Determination of Value) Rules, 2006. All other charges by whatever name called recovered by the broker from th....