Statutory provisions

STATUTORY PROVISIONS OF SERVICE TAX APPLICABLE w. e. f. 28.05.2012

As you all are aware that on 28-05-2012 our Hon’ble President has given his assent to the Finance Bill 2012. Various statutory provisions have been made applicable thereafter. Our Do You Series Team has made an attempt to acquaint you with the changes that have been made applicable w.e.f. 28-05-12.

1. Following amendments shall be made effective from 28.05.2012 by virtue of assent of Hon’ble President to the Finance Bill 2012.

• Section 67A- Newly inserted section dealing with Date of Determination of Rate of Tax, Value of Taxable Service and Rate of Exchange is made applicable from 28-05-12
• Section 72A- Newly inserted section dealing with provisions of Special Audit is made applicable from 28-05-12
• Section 73(1)- Amendment in the provision regarding Recovery of service tax not levied or paid or short levied or short paid or erroneously refunded where one year limit extended to eighteen months is made applicable from 28-05-12
• Section 73(1A)- Provision regarding deemed SCN is made applicable from 28-05-12
• Section 73(3)- Amendment regarding substitution of Period of one year by eighteen months is made applicable from 28-05-12
• Section 73(4A)- In this section reference to section 73(3) was deleted is made applicable from 28-05-12
• Section 80(2)- Provision regarding non imposition of penalty in the case of renting of immovable property is made applicable from 28-05-12
• Section 83- Provisions regarding applicability of Central Excise provisions where Section 14AA was deleted and section 31, 32, 32A to 32P, 35EE were inserted is made applicable from 28-05-12
• Section 85- Provisions regarding Appeals to the Commissioner of Central Excise (Appeals) where Time Limit for presenting appeal was reduced from three months to two months is made applicable from 28-05-12
• Section 86(1)- Provisions regarding Appeals to Appellate Tribunal by assessee where the time limit was 3 months is made applicable from 28-05-12
• Section 86(3)- Provisions regarding Appeals to Appellate Tribunal where Time Limit for filing appeal by Committee of Chief Commissioners or Committee of Commissioners was increased from 3 months to 4 months is made applicable from 28-05-12
• Section 88- The word duty has been substituted for the word Tax is made applicable from 28-05-12
• Section 89- Provisions regarding Prosecution is extended to the assessee who have evaded the service tax knowingly is made applicable from 28-05-12
• Section 93A- Provisions regarding Power to grant rebate for Exports was amended and extended to input services used for the removal or export of goods is made applicable from 28-05-12
• Section 93B- Newly inserted section is made applicable from 28-05-12
• Section 94- Provisions regarding Grant of Power to make New Rules was amended and extended in relation to place of provision of taxable services rules Compounding of offences and Settlement Commission is made applicable from 28-05-12
• Section 95(1-I)- Newly inserted section dealing with Power to remove difficulties arising from insertion of new sections 65B, 66B, 66C, 66D, 66E & 66F is made applicable from 28-05-12
• Section 96C(e)- Amendment in Advance Rulings regarding where Advance Ruling can be sought in relation to admissibility of credit of duty also is made applicable from 28-05-12
• Section 97- Special provision for retrospective exemption in certain cases relating to management, etc., of roads from 16.06.2005 to 26.07.2009 is made applicable from 28-05-12
• Section 98- Special provision for retrospective exemption in certain cases relating to management, etc., of non-commercial Government buildings from 16.06.2005 to 26.07.2009 is made applicable from 28-05-12

2. Newly inserted sections 65B, 66B, 66C, 66D, 66E, 66F and 68(2) and The Place of Provision of Service Rules, 2012 will be made effective when notified by Central Government in official gazette.

3. Section 65 (Definition of Taxable Service), 65A (Classification of Taxable service), 66(Charge of Section Tax) and 66A (Charge of Service Tax on Services received from outside India) shall continue to remain in force till made ineffective by notification.