Notes on clauses
Service Tax
Clause 75 of the Bill seeks to amend Chapter V of the Finance Act, 1994, relating to service tax in the following manner, namely:-
(1) sub-clause (A) seeks to amend section 65 so as to-
(a) define the terms "business entity" and "port services";
(b) modify the scope of certain taxable services by amending sub-clauses (zn), (zzc), (zzl), (zzm), (zzq), (zzzh), (zzzn), (zzzo), (zzzz), (zzzze),(zzzzf) of clause (105);
(c) specify new taxable services by inserting sub-clauses (zzzzn) to (zzzzu) in clause (105);
(2) sub-clause (B) seeks to amend section 66 with effect from such date as the Central Government may, by notification in the Official Gazette, appoint so as to include the services mentioned in sub-clauses (zzzzn) to (zzzzu) as taxable services.
(3) sub-clause (C) seeks to amend sub-section (3) of section 73 of the Finance Act, 1994 so as to insert an Explanation therein with a view to provide that no penalty under any provision of this Act or rules made thereunder shall be imposed in respect of payment made under that sub-section.
(4) sub-clause (D) seeks to amend section 95 of the Finance Act, 1994 so as to empower the Central Government to issue orders for removal of difficulty in case of implementing, classifying or assessing the value of any taxable service incorporated by the proposed legislation in this Chapter up to one year from the date of enactment of the Finance Bill, 2010.
Clause 76 of the Bill seeks to validate certain action taken under sub-clause (zzzz) clause (105) of section 65 of the Finance Act, 1994, regarding the taxable service of renting of immovable property.
