Services provided by Govt. or Local Authority to any Business Entity liable to Service Tax w.e.f. 1st April 2016
The GoI has notified that the services provided by the Govt. or local authority to any business entity, except those which are specifically exempted otherwise or are covered by any another entry in the Negative List, shall be liable to service tax w.e.f. 1.4.2016.
This notification basically seeks to appoint 1st April 2016 as the date from which the provisions of Section 109(1) as contained in the Finance Act, 2015 shall come into force.
Notification No. 06/2016-Service Tax dt. 18 Feb., 2016
In exercise of the powers conferred by section 109 of the Finance Act, 2015 (No. 20 of 2015), the Central Government hereby appoints the 1st day of April, 2016 as the date on which the provisions of sub-section (1) of section 109 of the said Act shall come into effect.