Service tax on commission received by Primary Dealers dealing in Government Securities - regarding.

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..... (All), Director General (Service Tax), Director General (Central Excise Intelligence), Director General (Audit), Commissioners of Service Tax (All), Commissioners of Central Excise and Service Tax (All). Madam/Sir, Subject: Service tax on commission received by Primary Dealers dealing in Government Securities - regarding. A representation has been received seeking clarification whether se .....

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..... es offered to them." 3. The term "underwriter" as in section 65(116) of the Finance Act, 1994, has been borrowed from rule 2 (f) of the Securities and Exchange Board of India (Underwriters) Rules, 1993, which reads as follows: "underwriter means a person who engages in the business of underwriting of an issue of securities of a body corporate." It is thus clear that under the above definitions .....

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..... part of the central Government's market borrowing program. The general practice is that the RBI invites bids from the Primary Dealers, who in their bids indicate the amount to be underwritten and the underwriting fee expected by them. RBI examines these bids and decides the amount to be underwritten and underwriting fee to be paid to a Primary Dealer. Underwriting Fee is also known as Underwriting .....

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