SERVICE TAX TRADE NOTICE NO.18/2003         Dated:19/06/2003
Sub Irregular Levy of Service Tax by the service providers @ 8% after budget i.e.1.3.2003 – Reg.

Copy of Circular No.57/6/2003-ST dated 20.05.2003 of the Central Board of Excise & Customs on the above subject is communicated herewith for information and necessary action.

                                                                               Sd/-

                      (P.V.R.REDDY)

                       ADDITIONAL COMMISSIONER

To

As per mailing list (both Dept. & Trade)

 

CBEC Circular No.57/6/2003                                                                                                 Dated 20.5.2003

      

Sub Irregular Levy of Service Tax by the service roviders @ 8% after budget i.e.1.3.2003 –  Reg.

 

It has come to the notice of the Board that service providers have started collecting service ta @ 8% immediately after the budget i.e. 1.3.2003.  However, this rate will come into effect from 14th May,2003 on which the Finance Bill,2003 received the assent of the President.  In this connection it is stated that if any amount has been collected as service tax but the same is not deposited with the Government in terms of provisions of Section 83 of Finance Act,1994, read with Section 11D of Central Excise Act,1944 same becomes recoverable.

         It is, therefore, requested to alert the field formations to verify the returns carefully for the above mentioned period so as to ensure that amount collected in excess as Service Tax should be deposited with the exchequer.