Executive Summary:
This notification from the Ministry of Finance addresses the non-levy of service tax on transportation services provided by educational institutions to students, faculty, and staff. It acknowledges a prevalent practice of not levying service tax during the period of April 1, 2013, to July 10, 2014. The notification directs that service tax, which would otherwise be payable during this period, will not be required to be paid.
Key Points / Main Content:
* **Subject:** Service tax on transportation services provided by educational institutions.
* **Time Period:** April 1, 2013, to July 10, 2014.
* **Issue:** Non-levy of service tax on transportation provided by educational institutions.
* **Legal Basis:** Section 11C of the Central Excise Act, 1944, read with Section 83 of the Finance Act, 1994.
* **Directive:** Service tax payable under section 66B of the Finance Act, 1994, on transportation services by educational institutions, will not be required to be paid for the specified period.
* **Reference:** Clause l of section 66 D of the Finance Act, 1994 defines "educational institutions".
Impact Analysis:
**Educational Institutions:**
* Impact: Relieved from paying service tax on transportation services provided to students, faculty, and staff during the specified period (April 1, 2013 to July 10, 2014).
* Action Required: No service tax needs to be paid for the specified period related to transportation services.
**Central Government (Tax Authorities):**
* Impact: Forego collection of service tax on transportation services provided by educational institutions during the specified period.
* Action Required: Implement the directive and ensure no service tax is collected for the specified transactions within the stated timeframe.
**Students, Faculty, and Staff:**
* Impact: Indirectly benefit as the educational institutions are not required to pay service tax, potentially preventing an increase in transportation fees to cover this tax.
* Action Required: No direct action required.
Key Entities Referenced
Finance Act, 1994: A key piece of legislation related to service tax, mentioned multiple times in the notification.
Central Excise Act, 1944: An act of the parliament of India to consolidate and amend the laws relating to Central duties of excise
Central Board of Excise and Customs: A government agency under the Department of Revenue, Ministry of Finance, responsible for the formulation of policy concerning levy and collection of customs, central excise duties, and service tax.
Ministry of Finance: The ministry of the government of India responsible for the country's finances.
Department of Revenue: Part of the Ministry of Finance.
New Delhi: The location where the notification was issued.
Rajeev Yadav: The Director who signed the notification.
Service Tax: A tax levied by the government on service providers on certain service transactions
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अिधसचू ना
नई (cid:7408)द(cid:7016) ली, 30 िसत(cid:7013) बर, 2016
स.ं 45/2016-सवे ा कर
सा.का.िन. 935(अ).—जहां(cid:7408)क, के(cid:7008) (cid:7076) सरकार इस बात से संत(cid:7020)ु ट ह ै (cid:7408)क 1 अ(cid:7079)ैल, 2013 से (cid:7079)ार(cid:7013) भ होने वाले और
10 जुलाई, 2014 को समा(cid:7009) त होने वाली अविध (एति(cid:7019)मन प(cid:7019) चात िजसे उ(cid:6989) त अविध से संद(cid:7414)भत (cid:7408)कया गया ह)ै म,(cid:7286) उस समय
सामा(cid:7008) यत: (cid:7079)चिलत (cid:7079)था के अनुसार, िव(cid:7004) त अिधिनयम, 1994 (1994 का 32) क(cid:7409) धारा 66 घ के उपवा(cid:6989) य (ठ) म(cid:7286) यथा
प(cid:7407)रभािषत िश(cid:6979)ण सं(cid:7021) था(cid:7312) (cid:7367)ारा अपन े सं(cid:7021) थान(cid:7298) के िव(cid:7378)ा(cid:7414)थय(cid:7298), अ(cid:7007) यापक(cid:7298) और कम(cid:6981)चा(cid:7407)रय(cid:7298) को उपल(cid:7011) ध कराए जान े वाल े
प(cid:7407)रवहन सेवा पर सेवा कर नह(cid:7277) लगाया जाता था जब(cid:7408)क उ(cid:6989) त अविध म (cid:7286) ऐसी सेवा पर सेवा कर लगाया जाना चािहए था,
ले(cid:7408)कन उ(cid:6989) त (cid:7079)था के कारण नह(cid:7277) लगाया जा रहा था।
अत: अब, के(cid:7008) (cid:7076)ीय उ(cid:7004) पाद शु(cid:7016)क अिधिनयम, 1944 (1944 का 1) क(cid:7409) धारा 11 ग, िव(cid:7004) त अिधिनयम, 1994
(1994 का 32) क(cid:7409) धारा 83 के साथ प(cid:7407)ठत, के तहत (cid:7079)द(cid:7004) त शि(cid:7334)य(cid:7298) का (cid:7079)योग करते (cid:7263)ए के(cid:7008)(cid:7076) सरकार, एत(cid:7375)ारा, िनद(cid:7287)श दते ी
ह ै(cid:7408)क िव(cid:7004) त अिधिनयम,1994 (1994 का 32) क(cid:7409) धारा 66घ के उपवा(cid:6989) य (ठ) म (cid:7286)यथा प(cid:7407)रभािषत िश(cid:6979)ण सं(cid:7021)थ ान(cid:7298) (cid:7367)ारा उ(cid:6989)त
अविध के दौरान अपन े सं(cid:7021) थान(cid:7298) के िव(cid:7378)ा (cid:7414)थय(cid:7298), अ(cid:7007) यापक(cid:7298) और कम(cid:6981)चा(cid:7407)रय(cid:7298) को जो प(cid:7407)रवहन सेवा (cid:7079)दान क(cid:7409) जा रही थी उस
पर जो िव(cid:7004) त अिधिनयम, 1994 क(cid:7409) धारा 66ख के अंतग(cid:6981)त सेवा कर लगाया जाना था (ले(cid:7408)कन उ(cid:6989) त (cid:7079)था के चलत े नह(cid:7277)
लगाया गया) उसका उ(cid:6989) त अविध के संबंध म(cid:7286) भगु तान (cid:7408)कए जाने क(cid:7409) ज(cid:7272)रत नह(cid:7277) ह।ै
[फा. सं. 137/73/2015-सेवा कर]
राजीव यादव, िनदेशक
4670 GI/2016 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF EXCISE AND CUSTOMS)
NOTIFICATION
New Delhi, the 30th September, 2016
No. 45/2016-Service Tex
G.S.R. 935(E).—Whereas, the Central Government is satisfied that in the period commencing on and from the
first day of April, 2013 and ending with the tenth day of July, 2014 (hereinafter referred to as the said period) according
to a practice that was generally prevalent, there was non levy of service tax, on the provision of the service of
transportation, by educational institutions as defined in clause (l) of section 66 D of the Finance Act, 1994 (32 of 1994)
during the said period, to students, faculty and staff of such institutions and this service was liable to service tax, in the
said period, which was not being paid according to the said practice.
Now, therefore, in exercise of the powers conferred by section 11C of the Central Excise Act, 1944 (1 of 1944),
read with section 83 of the Finance Act, 1994 (32 of 1994), the Central Government hereby directs that the service tax
payable under section 66B of the Finance Act, 1994 but for the said practice, on the service of transportation, by
educational institutions as defined in clause (l) of section 66 D of the Finance Act, 1994 (32 of 1994) during the said
period, to students, faculty and staff of such institutions, shall not be required to be paid.
[F. No. 137/73/2015-Service Tax]
RAJEEV YADAV, Director
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and Published by the Controller of Publications, Delhi-110054.