India extends service tax refund plan for exporters

Indian Government has issued Notification for extending refund of service tax paid by exporters on three more taxable services in addition to existing 13 taxable services, as part of efforts to help firms hit by the rise of the rupee.

The finance ministry said in a statement the government was extending the refund of service tax paid by exporters on 16 items including,

· Custom House Agent service.
· Banking and other financial services in relation to collection of export bills and export letters of credit.
· Commission agent service under business auxiliary service provided by a commission agent, located outside India subject to the conditions prescribed.

In September 2007, India made the first-ever move to refund service tax paid by exporters on non-input services like those offered by ports and goods transport agency and in February 2008, the Finance Ministry had extended tax refund scheme for three more taxable services, taking the total number to 13. Now comes another three more taxable making 16 in total.

For the notification, click www.cbec.gov.in.   – Press Release

Leave a Reply

Your email address will not be published. Required fields are marked *