Exempted Services by Government

Central Board or Excise & Custom vide Notification No 26/2016-ST dated 20 May 2016   has clarified the Services on which no Service Tax is leviable if provided  by Government or a local authority to a business entity having  a turnover up to rupees ten lakh in the preceding financial year. Following services would not be taxable as per the said notification:-

(i) services by the Department of Posts by way of speed post, express parcel post, life insurance and agency services provided to a person other than Government ;
(ii) services in relation to an aircraft or a vessel, inside or outside the precincts of a port or an airport;

Detailed Notification can be downloaded from the Link.

CBDT waives interest on demand raised due to disallowance of Sec. 87A rebate on income taxable at special rate

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