In this case also,instead of normal service tax @ 14% on his commission,,money changer has the option to pay service tax as follows

 

Conversion of Amount upto

Service tax Rate OLD

Service tax Rate NEW (From 1.6.15)

Upto 100000

0.12% Service tax

(Min Rs 30)

0.14% Service tax

(Min Rs 35)

100001-1000000

For first 100000  0.12% i.e. Rs 120

For balance        0.06%

For first 100000  0.14% i.e. Rs 120

For balance        0.07%

>1000000

For first 100000  0.12% i.e. Rs 120

For next 900000    0.06% i.e. Rs 540

For balance           0.012%

Max Amt of Service tax is Rs 6000

 

For first 100000  0.14% i.e. Rs 140

For next 900000    0.07% i.e. Rs 630

For balance           0.014%

Max Amt of Service tax is Rs 7000

 

 

  1. Indirect Tax
  2. Amendments Indirect Tax for 2016 2017 Exams

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CA Maninder Singh
CA Maninder Singh is a Chartered Accountant for the past 8 years. He provides GST Training in Delhi. Register now.