service tax Rates since 1994 and now onwards w.e.f. 01.06.2015
Service tax Rates and inclusion and exclusions of services changed over period of time .
Now the Rates w.e.f. 01.06.2015 will be 14%
| Sr. No. | Period | Rate of Service Tax | Rate of Education Cess | Rate of Secondary and Higher Secondary Education Cess |
| 1 | 1-7-1994 to 13-5-2003 | 5% | Nil | Nil |
| 2 | 14-5-2003 to 9-9-2004 | 8% | Nil | Nil |
| 3 | 10-9-2004 to 17-4-2006 | 10% | 2% of S.T. | Nil |
| 4 | 18-4-2006 to 31-5-2007 | 12% | 2% of S.T. | Nil |
| 5 | 1-6-2007 to 23-2-2009 | 12% | 2% of S.T. | 1% of S.T. |
| 6 | 24-2-2009 to 31-3-2012 | 10% | 2% of S.T. | 1% of S.T. |
| 7 | 1-4-2012 to 31-5-2015 | 12% | 2% of S.T. | 1% of S.T. |
| 8 | 1-6-2015 Onwards | 14% | Nil | Nil |
Compound rates of service tax
|
Nature of Service |
Compound Rate Till 31-5-2015 |
Compound Rates from 1-6-2015 Onwards |
| Booking of tickets for Air Travel Provided by air travel agents |
0.6% on the basic fare in case of domestic booking. 1.2% on the basic fare in case of international booking.
|
0.7% on the basic fare in case of domestic booking. 1.4% on the basic fare in case of international booking. |
| Insurer carrying on life insurance business |
On the gross premium charged from the policyholder reduced by the amount allocated for investment ans savings on behalf of policyholder. In all other cases, 3% of the premium charged in the first year and 1.5% of premium charged in subsequent year. |
On the gross premium charged from the policyholder reduced by the amount allocated for investment ans savings on behalf of policyholder. In all other cases, 3.5% of the premium charged in the first year and 1.75% of premium charged in subsequent year |
| Purchase or sale of foreign currency including money changing |
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| Distributors and selling agents or persons assisting in organizing lottery |
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| Education Cess and Secondary & Higher Secondary Education Cess | Charged separately | Cess has been abolished. |
Effective Rates after Abatement (Including Cess)
| Nature of Service | Compound Rate Till 31-5-2015 | Compound Rates from 1-6-2015 Onwards |
| Works Contract | ||
| Option I Gross Amount – Value of goods | 12.36% | 14% |
| Option II(a) 40% in case of Original Works | 4.944% | 5.60% |
| b) 70% in remaining cases | 8.652% | 9.80% |
| Restaurant Services | 4.944% | 5.60% |
| Outdoor Catering | 7.416% | 8.40% |
| Financial Leasing and Hire Purchase | 1.236% | 1.40% |
| Transport of goods by rail | 3.708% | 4.20% |
| Transport of passengers by rail | 3.708% | 4.20% |
| GTA | 3.708% | 4.20% |
| Bundled Services (Food + Rent, etc) | 8.652% | 9.80% |
| Transport of passengers by air | ||
| Economy class | 4.944% | 5.60% |
| Other class | 7.416% | 8.40% |
| Room Rent | 7.416% | 8.40% |
| Renting of Motor Cab | 4.944% | 5.60% |
| Transport of passengers by a contract carriage other than motor cab and by a radio taxi | 4.944% | 5.60% |
| Transport of goods in a vessel | 3.708% | 4.20% |
| Tour Operator Services | ||
| (a) Package Tour | 3.09% | 3.50% |
| (b) Booking Accomodation | 1.236% | 1.40% |
| (c) Other than above | 4.944% | 5.60% |
| Construction of complex | ||
| (a) Residential complex of area less than 2000 sq ft and amount charged is less than ₹ 1 Crores. | 3.09% | 3.50% |
| (b) Other complexes | 3.708% | 4.20% |
SWACHH BHARAT CESS – Notified on 15.11.2015 @ 0.50%
https://www.eserviceshelp.in/need-swachh-bharat-cess-sbc-in-india/
Krishi Kalyan Cess – Notified on 01.06.2016 @ 0.50%
https://www.eserviceshelp.in/krishi-kalyan-cess/
