Government of India has introduced ‘Swachh Bharat Cess’ to the existing Service Tax levied on Telecom products and services across the country.
Telephone calls may hike due to impose of ‘Swachh Bharat Cess’ 0.5 percent to the existing Service Tax 14 percent on all services. As a result from 15th November, 2015 onwards customers an extra of 0.5% SBCess imposed on customers head on all taxable products and services and Total Service Tax will be 14.5 per cent.
Government of India is expected to increase around Rs.3,800 crore in the remaint he months of this Financial Year after introduction of ‘Swachh Bharat Cess’.
Already Banking sectors intimated to its customers about new SB Cess from 15th November, 2015 and same will be imposed on banking related transactions and purchases using Credit or Debit cards.
The Ministry of Finance has clarified that the SB Cess will not apply on those services for which payments have been received peior to November 2015 and invoices raised before 29th November, 2015.
As per latest information from Government sources, the SB Cess will be levied on the portion of taxable services (after abatement) and will go towards funding of the cleanliness drive, a pet project of Sri Narendar Modi Honb’le Prime minister of India.
In this connection speaking to media Finance Ministry said, ‘Swachh Bharat Cess is not another tax but a step towards involving each and every citizen in making contribution to Swachh Bharat. The proceeds from this cess will be exclusively used for Swatch Bharat initiatives”.
The increase in Service tax will effect on Telecom services like Landline bill/Mobile bills, Recharge Vouchers, Broadband bills and other consumer bills.
Telephone calls may hike due to impose of ‘Swachh Bharat Cess’ 0.5 percent to the existing Service Tax 14 percent on all services. As a result from 15th November, 2015 onwards customers an extra of 0.5% SBCess imposed on customers head on all taxable products and services and Total Service Tax will be 14.5 per cent.
Government of India is expected to increase around Rs.3,800 crore in the remaint he months of this Financial Year after introduction of ‘Swachh Bharat Cess’.
Already Banking sectors intimated to its customers about new SB Cess from 15th November, 2015 and same will be imposed on banking related transactions and purchases using Credit or Debit cards.
The Ministry of Finance has clarified that the SB Cess will not apply on those services for which payments have been received peior to November 2015 and invoices raised before 29th November, 2015.
As per latest information from Government sources, the SB Cess will be levied on the portion of taxable services (after abatement) and will go towards funding of the cleanliness drive, a pet project of Sri Narendar Modi Honb’le Prime minister of India.
In this connection speaking to media Finance Ministry said, ‘Swachh Bharat Cess is not another tax but a step towards involving each and every citizen in making contribution to Swachh Bharat. The proceeds from this cess will be exclusively used for Swatch Bharat initiatives”.
The increase in Service tax will effect on Telecom services like Landline bill/Mobile bills, Recharge Vouchers, Broadband bills and other consumer bills.