CA NeWs Beta*: RESTORATION OF SERVICE SPECIFIC ACCOUNTING CODES FOR PAYMENT OF SERVICE TAX CIRCULAR NO. 165/16/2012 -ST [F.NO.341/21/2012-TRU], DATED 20-11-2012

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Tuesday, November 20, 2012

RESTORATION OF SERVICE SPECIFIC ACCOUNTING CODES FOR PAYMENT OF SERVICE TAX CIRCULAR NO. 165/16/2012 -ST [F.NO.341/21/2012-TRU], DATED 20-11-2012

Negative List based comprehensive approach to taxation of services came into effect from the first day of July, 2012. Accounting code for the purpose of payment of service tax under the Negative List approach ["All Taxable Services" – 00441089] was prescribed vide Circular 161/12/2012, dated 6th July, 2012.
2. Subsequent to the issuance of the Circular, suggestions were received from the field formations that the service specific old accounting codes should be restored, for the purpose of statistical analysis; also it was suggested that list of descriptions of services should be provided to the taxpayers for obtaining registration. These suggestions were examined and a decision has been taken to restore the service specific accounting codes. Accordingly, a list of 120 descriptions of services for the purpose of registration and accounting
codes corresponding to each description of service for payment of tax is provided in the annexure to this Circular.
3. Descriptions of taxable services given in the annexure are solely for the purpose of statistical analysis. On the advice of the office of the C & AG, a specific sub-head has been created for payment of "penalty" under various descriptions of services. Henceforth, the sub-head "other receipts" is meant only for payment of interest payable on delayed payment of service tax. Accounting Codes under the sub-head "deduct refunds" is not to be used by the taxpayers, as it is meant for use by the field formations while allowing refund of tax.
4. Registrations obtained under the positive list approach continue to be valid. New taxpayers can obtain registrations by selecting the relevant description/s from among the list of 120 descriptions of services given in the Annexure. Where registrations have been obtained under the description 'All Taxable Services', the taxpayer should file amendment application online in ACES and opt for relevant description/s from the list of 120 descriptions of services given in the Annexure. If any applications for amendment of ST-1 are pending with field formations, seeking the description 'all taxable services', such amendment may not be necessary and the officers in the field formations may provide necessary guidance to the taxpayers in this regard. Directorate General of Systems will be making necessary arrangements for display of the list of 120 descriptions of services and their corresponding Accounting Codes in Form ST-1 and Form ST-2 as may be necessary.
5. Officers in the field formations are instructed to extend necessary guidance to the tax payers regarding the selection of appropriate description of taxable service and facilitate the payment of service tax/cess due under the appropriate accounting code. Trade Notice/Public Notice may be issued to the field formations and tax payers. Please acknowledge receipt of this Circular.

ANNEXURE
DESCRIPTIONS OF TAXABLE SERVICES AND ACCOUNTING CODES FOR PAYMENT OF SERVICE TAX
No.    Finance Act,1994 erstwhile Section 65(105)    Descriptions of Taxable Services    Accounting Codes
Tax Collection    Other Receipts (interest)    Penalties    Deduct Refunds (for use by the field formations)
1    (a)    Stockbroker service    00440008    00440009    00441298    00440121
*    (b)    Telegraph authority-telephone connection [(b) was omitted w.e.f.01.06.2007 and clubbed under (zzzx)]    00440003    00440119    00441296    00440122
*    (c)    Telegraph authority-pager[(c ) was omitted w.e.f.01.06.2007 and clubbed under (zzzx)]    00440015    00440020    00441301    00440021
2    (d)    General insurance service    00440005    00440006    00441297    00440120
3    (e)    Advertising agency services    00440013    00440016    00441299    00440017
4    (f)    Courier agency service    00440014    00440018    00441300    00440019
5    (g)    Consulting engineer services    00440057    00440058    00441310    00440059
6    (h)    Custom House Agent service    00440026    00440027    00441302    00440028
7    (i)    Steamer agent services    00440029    00440030    00441303    00440031
8    (j)    Clearing and forwarding agent services    00440045    00440046    00441306    00440047
9    (k)    Manpower recruitment/supply agency service    00440060    00440061    00441311    00440062
*    (ka)    Goods Transport Operator [This description is not to be used since omitted and clubbed under (zzp) Transport of goods by road - goods transport agency service - (zzp)]    00440067    00440068    00441313    00440069
10    (l)    Air travel agent services    00440032    00440033    00441304    00440034
11    (m)    Mandap keeper service    00440035    00440036    00441305    00440037
12    (n)    Tour operator services    00440063    00440064    00441312    00440065
13    (o)    Rent-a-cab scheme operator services    00440048    00440049    00441307    00440050
14    (p)    Architect services    00440072    00440073    00441314    00440074
15    (q)    Interior decoration/ Designer services    00440076    00440077    00441315    00440078
16    ( r)    Management or business consultant service    00440116    00440117    00441325    00440118
17    (s)    Chartered accountant services    00440092    00440093    00441319    00440094
18    (t)    Cost accountant service    00440096    00440097    00441320    00440098
19    (u)    Company secretary service    00440100    00440101    00441321    00440102
20    (v)    Real estate agent service    00440104    00440105    00441322    00440106
21    (w)    Security/ detective agency service    00440108    00440109    00441323    00440110
22    (x)    Credit rating agency service    00440088    00440089    00441318    00440090
23    (y)    Market research agency service    00440112    00440113    00441324    00440114
24    (z)    Underwriter service    00440084    00440085    00441317    00440086
*    (za)    Mechanised slaughterhouse service[omitted vide Finance Act, 2001]    00440080    00440081    00441316    00440082
25    (za)    Scientific & technical consultancy services    00440125    00440126    00441326    00440127
26    (zb)    Photography service    00440129    00440130    00441327    00440131
27    (zc)    Convention service    00440133    00440134    00441328    00440135
*    (zd)    Telegraph authority - leased circuit [omitted w.e.f.01.06.2007 and clubbed under (zzzx)]    00440137    00440138    00441329    00440139
*    (ze)    Telegraph authority - telegraph service [omitted w.e.f.01.06.2007 and clubbed under (zzzx)]    00440141    00440142    00441330    00440143
*    (zf)    Telegraph authority - telex service [omitted w.e.f.01.06.2007 and clubbed under (zzzx)]    00440145    00440146    00441331    00440147
*    (zg)    Telegraph authority - facsimile service [omitted w.e.f.01.06.2007 and clubbed under (zzzx)]    00440149    00440150    00441332    00440151
28    (zh)    Online information and database access service and/ or retrieval service through computer network    00440153    00440154    00441333    00440155
29    (zi)    Video production agency/video tape production service    00440157    00440158    00441334    00440159
30    (zj)    Sound recording studio or agency services    00440161    00440162    00441335    00440163
31    (zk)    Broadcasting service    00440165    00440166    00441336    00440167
32    (zl)    Insurance auxiliary service in relation to general insurance    00440169    00440170    00441338    00440171
33    (zm)    Banking and other Financial services    00440173    00440174    00441339    00440175
34    (zn)    Port service (major ports)    00440177    00440178    00441341    00440179
35    (zo)    Service for repair, reconditioning, restoration, or decoration or any other similar services, of any motor vehicle[(zzj) omitted w.e.f 16.6.05]    00440181    00440182    00441343    00440183
*    (zp)    Body corporate other than banks in relation to banking and other financial services [ omitted w.e.f. 10.09.04 and clubbed under (zm)]    -----------    --------------    -----------    -------------
36    (zq)    Beauty parlours /beauty treatment    00440209    00440210    00441361    00440211
37    (zr)    Cargo handling service    00440189    00440190    00441348    00440191
38    (zs)    Cable operators    00440217    00440218    00441366    00440219
39    (zt)    Dry cleaning service    00440221    00440222    00441369    00440223
40    (zu)    Event management    00440197    00440198    00441353    00440199
41    (zv)    Fashion design    00440213    00440214    00441363    00440215
42    (zw)    Health club and fitness centre service    00440205    00440206    00441358    00440207
43    (zx)    Life insurance service    00440185    00440186    00441346    00440187
44    (zy)    Insurance auxiliary service concerning life insurance business    00440185    00440186    00441346    00440187
45    (zz)    Rail travel agent's service    00440201    00440202    00441356    00440203
46    (zza)    Storage and warehousing services    00440193    00440194    00441350    00440195
47    (zzb)    Business auxiliary service    00440225    00440226    00441371    00440227
48    (zzc)    Commercial training or coaching    00440229    00440230    00441374    00440231
49    (zzd)    Erection, commissioning and installation    00440233    00440234    00441376    00440235
50    (zze)    Franchise service    00440237    00440238    00441384    00440239
51    (zzf)    Internet cafĂ©    00440241    00440242    00441386    00440243
52    (zzg)    Maintenance or repair service    00440245    00440246    00441388    00440247
53    (zzh)    Technical testing and analysis service    00440249    00440250    00441389    00440251
54    (zzi)    Technical inspection and certification agency service    00440249    00440250    00441389    00440251
*    (zzj)    Authorised service station [omitted w.e.f 16.6.05 and clubbed under (zo)]    ---------    -----------    ------------    ----------
55    (zzk)    Foreign exchange broker service    00440173    00440174    00441339    00440175
56    (zzl)    Other port (minor port) service    00440177    00440178    00441341    00440179
57    (zzm)    Airport services by airport authority    00440258    00440259    00441391    00440260
58    (zzn)    Transport of goods by air    00440266    00440267    00441393    00440268
59    (zzo)    Business exhibition service    00440254    00440255    00441390    00440256
60    (zzp)    Transport of goods by road/goods transport agency service    00440262    00440263    00441392    00440264
61    (zzq)    Construction services other than residential complex, including commercial/industrial buildings or civil structures    00440290    00440291    00441399    00440292
62    (zzr)    Services by holder of intellectual property right providing intellectual property services other than copyright    00440278    00440279    00441396    00440280
63    (zzs)    Opinion poll agency service    00440274    00440275    00441395    00440276
64    (zzt)    Outdoor catering    00440051    00440052    00441308    00440053
65    (zzu)    Services by a programme producer    00440286    00440287    00441398    00440288
66    (zzv)    Survey and exploration of mineral    00440270    00440271    00441394    00440272
67    (zzw)    Pandal or shamiana service    00440054    00440055    00441309    00440056
68    (zzx)    Travel agent for booking of passage(other than air/rail travel agents)    00440294    00440295    00441400    00440296
69    (zzy)    Services provided by recognised/registered associations in relation to forward contracts    00440282    00440283    00441397    00440284
70    (zzz)    Transport of goods through pipeline or other conduit    00440302    00440303    00441430    00440304
71    (zzza)    Site formation and clearance, excavation, earth moving and demolition services    00440306    00440307    00441431    00440308
72    (zzzb)    Dredging of rivers, ports harbours, backwaters, estuaries, etc.    00440310    00440311    00441432    00440312
73    (zzzc)    Survey and map making service    00440314    00440315    00441433    00440316
74    (zzzd)    Cleaning services    00440318    00440319    00441434    00440320
75    (zzze)    Club or association service    00440322    00440323    00441435    00440324
76    (zzzf)    Packaging service    00440326    00440327    00441436    00440328
77    (zzzg)    Mailing list compilation and mailing service    00440330    00440331    00441437    00440332
78    (zzzh)    Construction of residential complex service    00440334    00440335    00441438    00440336
79    (zzzi)    Service provided by a registrar to an issue    00440338    00440339    00441439    00440340
80    (zzzj)    Service provided by a share transfer agent    00440342    00440343    00441440    00440344
81    (zzzk)    Automated Teller Machine operations, maintenance or management service    00440346    00440347    00441441    00440348
82    (zzzl)    Service provided by a recovery agent    00440350    00440351    00441442    00440352
83    (zzzm)    Selling of space or time slots for advertisements    00440354    00440355    00441443    00440356
84    (zzzn)    Sponsorship service provided to body-corporate or firm including sports sponsorships    00440358    00440359    00441444    00440360
85    (zzzo)    Transport of passengers embarking on domestic/international journey by air    00440362    00440363    00441445    00440364
86    (zzzp)    Transport of goods by rail including transport of goods in containers by rail (for the present, transport of passengers by rail in air-conditioned class/first class also may be paid under this description/accounting code)    00440390    00440391    00441446    00440392
87    (zzzq)    Business support service    00440366    00440367    00441447    00440368
88    (zzzr)    Auction service    00440370    00440371    00441448    00440372
89    (zzzs)    Public relation management service    00440374    00440375    00441449    00440376
90    (zzzt)    Ship management service    00440378    00440379    00441450    00440380
91    (zzzu)    Internet telecommunication services (includes internet telephony Service which became taxable from 01.05.2006)    00440382    00440383    00441451    00440384
92    (zzzv)    Transport of persons by cruise ship    00440386    00440387    00441452    00440388
93    (zzzw)    Credit card, debit card, charge card or other payment card related services    00440394    00440395    00441453    00440396
94    (zzzx)    Services of telegraph authority in relation to telecommunication service    00440398    00440399    00441454    00440400
95    (zzzy)    Mining of mineral, oil or gas service    00440402    00440403    00441455    00440404
96    (zzzz)    Renting of immovable property services    00440406    00440407    00441456    00440408
97    (zzzza)    Works contract service    00440410    00440411    00441457    00440412
98    (zzzzb)    Development and supply of content for use in telecom services, advertising agency, etc.    00440414    00440415    00441458    00440416
99    (zzzzc)    Asset management including portfolio management and fund management    00440418    00440419    00441459    00440420
100    (zzzzd)    Design service other than interior decoration and fashion designing    00440422    00440423    00441460    00440424
101    (zzzze)    Information technology software service    00440452    00440450    00441461    00440451
102    (zzzzf)    Services provided by an insurer of life insurance under Unit Linked Insurance Plan(ULIP)    00440430    00440431    00441462    00440432
103    (zzzzg)    Services provided by a recognized stock exchange in relation to transaction in securities    00440434    00440435    00441463    00440436
104    (zzzzh)    Services provided by recognised/registered associations in relation to clearance or settlement of transactions in goods or forward contracts    00440438    00440439    00441464    00440440
105    (zzzzi)    Services provided by a processing and clearinghouse in relation to securities, goods and forward contracts    00440442    00440443    00441465    00440446
106    (zzzzj)    Services provided by any person in relation to supply of tangible goods    00440445    00440447    00441466    00440448
107    (zzzzk)    Cosmetic and plastic surgery service    00440460    00440463    00441467    00440466
108    (zzzzl)    Transport of goods by coastal shipping (services by way of transportation of goods by inland waterways is placed in the negative list)    00440470    00440473    00441468    00440476
109    (zzzzm)    Legal consultancy service    00440480    00440483    00441469    00440486
110    (zzzzn)    Promotion, marketing , organizing or assisting in organizing games of chance including lottery, etc.    00440595    00440596    00441470    00440597
111    (zzzzo)    Health services by a clinical establishment, health check-up/diagnosis , etc.    00440598    00440599    00441471    00440600
112    (zzzzp)    Maintenance of medical records    00440601    00440602    00441472    00440603
113    (zzzzq)    Service of promotion or marketing of brand of goods/services/events    00440604    00440605    00441473    00440606
114    (zzzzr)    Service of permitting commercial use or exploitation of events    00440607    00440608    00441474    00440609
115    (zzzzs)    Electricity exchange service    00440610    00440611    00441475    00440612
116    (zzzzt)    Copyright service - transfer temporarily/ permit use or enjoyment    00440613    00440614    00441476    00440615
117    (zzzzu)    Special services provided by builders    00440616    00440617    00441477    00440618
118    (zzzzv)    Restaurant service    00441067    00441068    00441478    00441069
119    (zzzzw)    Service of providing accommodation in hotels, inn, guest house, club or campsite whatever name called.    00441070    00441071    00441479    00441072
120        Other taxable services [ services other than the 119 listed above]    00441480    00441481    00441485    00441482
Note: In the above list, 119 descriptions of services (sl.no.1 to 119) are derived from positive list based selective approach and are arranged as they evolved; some of them have undergone change under the negative list approach. At serial number 120, the description reads as 'other taxable services' [services which are not covered by any of the 119 descriptions derived from positive list approach]. Descriptions of services listed above are meant for the purpose of collection of statistics.

EDUCATION CESS
Sl.no    Description    Tax collection    Other receipts(interest)    Penalties    Deduct refunds
1    Primary Education Cess    00440298    00440299    00441486    00440300
2    Secondary and Higher Education Cess    00440426    00440427    00441487    00440428

ALL TAXABLE SERVICES
Description    Tax collection    Other receipts(interest)    Penalties    Deduct refunds
All Taxable Services (registrations obtained under this description should be amended online by selecting appropriate description/s from the list of 120 descriptions given in this Annexure)    00441089    00441090    00441093    00441094

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