Published in:
Business World
Pubished on:
4 Feb 2016
The levy of service tax as well as Value Added Tax (VAT) on the same transaction has been a subject matter of debate for long. This has emanated as both the central and state governments are looking at enhancing their pies of revenue, in the process making the industry bear the brunt of the uncertainties in the tax environment.
While the central government is pursuing its objective to provide a certain and stable tax regime, it is critical that the following instances of dual levy of VAT and service tax on the same transaction are addressed on an urgent basis: