Clarification on Service Tax on remittances - C.B.E. & C. Circular dated 10-7-2012 - Regarding. - Service Tax - F. No. 354/105/2012-(Pt)-TRU

Office Memorandum F. No. 354/105/2012-(Pt)-TRU Government of India Ministry of Finance (Department of Revenue) Central Board of Excise Customs, New Delhi dated 26-7-2012 Subject : Clarification on Service Tax on remittances - C.B.E. C. Circular dated 10-7-2012 - Regarding. I am directed to refer to your office letter DGCEI. F. No. 171/ST/Po1/04/2012/19864 dated 19-7-2012 addressed to Member (Budget) on the above subject. 2. It has been apprehended by DGCEI that C.B.E. C. Circular No. 163/14/2012-S.T., dated 10-7-2012 issued under F. No. 354/119/2012-TRU [2012 (27) S.T.R. C136] may be misunderstood to have a retrospective effect. It has been further mentioned that DGCEI is of the opinion that the Circular clarifies the legal position on provisions which have came into force on and after 1st July 2012 and hence not applicable to the period before 1st July 2012. However a request to confirm the interpretation derived by DGCEI has been made. 3. The said C.B.E. C. Circular specifically refers to the negative list regime , Sec 65B of the Finance Act and the Place of Provision of Services Rules, 2012 . These provisions have come into effect only w.e.f. 1st July 2012 and the clarification is based on such provisions so quoted. 4. As the Circular only quotes the position of law post 1st July, 2012 it cannot be applicable in respect of the period before 1st July, 2012.