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Wednesday, August 25, 1999

Service tax on clearing agents

PRESS TRUST OF INDIA  
NEW DELHI, Aug 24: Clearing and forwarding agents will be required to pay service tax from September 1, an official release said today. The agents will have to pay as service tax five per cent of the commission or other remuneration they earn for clearing and forwarding operations.

The service tax on clearing and forwarding agents was introduced in July 1997 but all along it had been passed on to clients. But from September 1, the service tax will be paid by clearing and forwarding agents themselves following the change in the mode of payment.

The press release said the provisions relating to registration, furnishing of returns and assessment as in existence will now apply on the agents.

Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.


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