India Tax Payer - Forum

The Indian Tax Advisors

Sl. No.

Notification details

Details in brief

1.

1/2011-ST dated 1.3.2011.

Rule 3 (2) of the Works Contract (Composition Scheme for payment of Service Tax) Amendment Rules, 2011 does not allow cenvat credit on inputs. Now, Rule 3(2A) has been introduced allowing cenvat credit only to an extent of 40% of the service tax paid, when such tax has been paid on the full value of the service after availing cenvat credit on inputs.  The restriction is applicable only to those input services such as erection and commissioning services, commercial or industrial construction services and construction of residential complex services.

2.

2/2011-ST dated 1.3.2011

Determination of value in respect of money changing.

3.

3/2011-ST dated 1.3.2011.

With effect from 1.4.2011.

Makes amendment in Service Tax Rules, 1994.

Rule 5B: Date of determination of rate of service tax: The rate of tax in case of services provided, or to be provided, shall be the rate prevailing at the time, when the services are deemed to have been provided under the rules made in this regard.

Rule 6: (i) Earlier service tax has to be paid on receipt of payments.  Now, it has been amended to the effect that service tax has to be paid as per “Point of Taxation Rules, 2011. Generally, the relevant date is (i) date of provision of service; or (ii) date of issue of invoice or (iii) receipt of payment; (iv) or receipt of advance, whichever is earlier.

(ii) Monetary limit for adjustment of excess service tax paid has been increased from Rs.one lakh to Rs.2 lakhs.

4.

4/2011-ST dated 1.3.2011.

With effect from 1.4.2011.

Amends notification 26/2010-ST dated 22.6.2010. Exemption to passengers embarking on international flights.

5.

5/2011-ST dated 1.3.2011.

Exemption to an organiser of business exhibition for holding a business exhibition outside India.

6.

6/2011-ST dated 1.3.2011.

Exemption to construction of residential services and completion and finishing services of residential complex under Jawaharlal Nehru National Urban Renewal Mission and Rajiv Awaas Yojana.

7.

7/2011-ST dated 1.3.2011.

Exemption to services provided by an insurer carrying on general insurance business to any person for providing insurance under the Rashtriya Swasthya Bima Yojana.

8.

8/2011-ST dated 1.3.2011.

With effect from 1.4.2011.

Exemption to services (Transport of goods by aircraft, goods transport agency, transport of goods in container by rail) provided to any person located in India, when the goods are transported from a place located outside India to a final destination, which is also outside India.

9.

9/2011-ST dated 1.3.2011.

With effect from 1.4.2001.

Air freight included for the payment of customs duty is exempted from payment of service tax.

10.

10/2011-ST dated 1.3.2011.

Airport authority services relating to the execution of works contract in an airport is exempted.

11.

11/2011-ST dated 1.3.2001.

Services relating to execution of works contract, when provided wholly within the port or other port, for construction, repair, alteration and renovation of wharves, quays, docks, stages, jetties, piers and railways are exempted.

12.

12/2011-ST dated 1.3.2011.

Export of services Rule has been amended so as to include certain services.

13.

13/2011-ST dated 1.3.2011.

Import of services rule has been amended so as to include certain services.

14.

14/2011-ST dated 1.3.2011 and

15/2011-ST dated 1.3.2011.

With effect from 1.4.2011.

Rate of interest has been increased to 18%.

15.

16/2011-ST dated 1.3.2011.

75% abatement in taxable value has been extended to services provided or to be provided in relation to coastal goods, goods through national waterway or goods through inland water.

16.

17/2011-ST dated 1.3.2011.

Procedure to obtain refund in respect of specified services received for the authorised operation in a SEZ.

17.

18/2011-ST dated 1.3.2011.

(With effect from 1.4.2011).

Rules to relating to determination of point of taxation, determination of point of taxation in case of change of rate of tax, payment of tax in case of new services, determination of point of taxation in case of continuous supply of service, determination of point of taxation in case of associated enterprises, determination of point of taxation in case of copyright,.

The Indian Tax Advisors,176/84, West Sambandam Road,R S Puram, Coimbatore - 641 002,Tamilnadu.

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