Procedural issues in Service Tax (NEW)(ALL OLD CIRCULAR WITHDRAWN)

CBEC has issued a circular 97 dated 23/8/2007.in which all the old circular relating to procedure and administration of Service tax has been dealt with.As promised in Finance speech 2007 by FM new circular has been issued to simplifying the procedures and make better understanding and improve voluntarily compliance.Main reason to issue this Master circular explained in itself are1.Old circular issued are not rightly categorised & consolidation is required2.Some of them(circulars/clarification) are redundant and anachronistic.Important note:This circular supersedes all previous Circulars /clarifications /instructions issued on these subjectsRegistration:who is liable to be registered1.Every person providing a taxable service and liable to pay service tax is required to register with the Central Excise / Service Tax department. (subject to some exemptions)2.In a few cases liability to pay service tax has been shifted to the service receiver or other specified person.- Insurer in case of service provided by insurance agent;- Person making payment of freight in such cases where a goods transport agency provides taxable service to a specified consignor and consignee;- Asset management company or mutual fund, in case of service provided by a distributor to them;- Where the service is provided to a person in India by any person from a country other than India; and- body corporate or a firm located in India receiving sponsorship service.Turnover limit1. Aggregate value of taxable service for threshold based exemption is, currently, Rs. 8 lakh in a year.2. A person availing of this exemption is required to register with the department on achieving a turnover of Rs 7 lakh in a financial year in respect of all taxable services provided by him.3.value of All taxable services will be included ,whether they are taxable under different section Or provided in different premises by same service provided.4. Service provided by persons under a BRAND name can't take the benefit of exemption limit 2.Person who wants to take INPUT TAX CREDIT of services received while providing other service or adjustment in excise payable on goods manufactured is also liable to be registered.Please read changes in budget 2008 also APPLICATION FORM FOR REGISTRATION--FORM ST-1--Submit FORM ST-1 to jurisdictional superintendent of Central Excise/Service tax.-- If service is provided under different locations fall under different superintendents than registration will be done by jurisdictional Commissioner-- Within 30 days of levy of service tax on such service or, in case of an existing taxable service, within 30 days of the commencement of provision of such service.-- Submit one form for all the services.REGISTRATION CERTIFICATE--Will be issued in Form ST2 within 7 days if application is complete & filled properly.--In case registration certificate is not issued within seven days, the registration is deemed to have been granted.--Registration No., also known as ‘Service Tax Code (STC)’ is a fifteen digit PAN based number. ------First 10 digits of this number are the same as the PAN of such person.------Next two digits are ‘ST’.------Next three digits are serial numbers indicating the number of registrations taken by the service taxpayer against a common PAN.KNOW YOUR STC (SERVICE TAX CODE ) BY FILLING PAN NO Registration certificate can be amended by applying on form st-1 along with original certificate.----for new services--- for new premises--Deletion of services,premises can be applied on plain paper .