Service tax on Premium Allocation Charges, Service Tax

[Amit Kumar Aggarwal]

Dear Sir,

May you explain me the Sec 60 ( 105) (zx ) and 60 (105) (ZZZF) with an example of service tax. Is service tax applicable on allocation charges before 17/2/2010.

Posts / Replies

[Seetharaman K C]

I think you are referring to  Section 65 (105)(zzzzf) which pertains to "Investment Management Services provided under ULIP", under which the gross amount charged for providing such services are subject to service tax and it is immaterial which it is called allocation charges or any other term. This is governed by section 67 of the Service Tax (Determination of Value) Rules, 2006.