5. Rule 6, w.e.f. 1-4-2005, prescribe that due date for service tax payment by all service tax assessees would be 5th of the following month or quarter, as the case may be However, tax for the month or the quarter ending is required to be paid by 31 st March w.e.f. 16.6.2005, provisions to provide self adjustment of excess payment of service tax by the assessee having centralized registration [Rule 4A]. Payment of Service tax………

9. Recent Development/ changes maintenance or repair of goods (i.e. software), is taxable service- Circular No.81, 7.10.2005 Advertising services – Draft Circular, service tax would be levied on the gross amount including the amount paid for procuring the space in print media. New ST-1, ST-2 and ST-3 have been issued vide Notification No. 31 and 32 dated 20-10-2005 .

10. Recent Development/ changes Recipient of taxable services even if they discharge their service tax liability under Section 68(2) are not entitled to avail credit of the service tax paid on taxable services received by them under CENVAT Credit Rules, 2004 - TRU on 03.10.2005 (F. No. 345/4/2005-TRU, DATED 3.10.2005) the services provided by money changers in relation to foreign exchange is covered under Banking and financial services as defined under 65(12) of the Finance Act and leviable to service tax under section 65(105)(zm) or section 65(105)(zzk) of the Finance Act, 1994 - F.No. 341/44/2005-TRU , 6-10-2005.

11. Valuation of taxable service Reimbursement of Expenses “ there is conceptual difference between “expenses” and “reimbursement”.- Collector Of Central Excise v. Bajaj Tempo Ltd. 2005 (180) ELT 289 (SC) . GDA Security Private Limited v Union of India (2002) 140 ELT 332 (Mad) it was challenged that in the matter of calculation of tax, the actual expenses/reimbursable expenses were not excluded and the tax was charged on the gross amount charged by the security agencies

12. Valuation of taxable service Reimbursement of Expenses statutory levies of the kind mentioned above, such as EPF, ESI, contribution towards labour welfare fund, etc. are required to be borne by all types of employers and not only security agencies and no abatements in respect of such statutory levies are admissible for the purposes of computing the service tax liability - Circular F. No. B-11/3/98-TRU, dated 7-10-1998 Value of Taxable service for supply of Manpower - Clarification issued on 27 th July 2005 – para 22.4 “ Service tax is to be charged on the full amount of consideration for the supply of manpower , whether full-time or part-time. The value includes recovery of staff costs from the recipient e.g. salary and other contributions”

13. Valuation of taxable service conflicting clarifications General exemption from service tax for part of value of taxable service which represent cost of goods and materials sold by the service provider to the recipient of service - Notification No. 12/2003, dated 20.06.2003 the value of paper and chemical used in the photo is reflected separately then such value shall be exempted from the service tax in terms of Notification No. 12/2003-ST, dated 20.06.2003 - Board in a letter dated 7 th April 2004 [File No. 233/2/2003.CX. 4] to Punjab Photo Colour Lab Association no other cost (other than the cost of unexposed photography film) such as photographic paper, chemicals, etc. is excluded from the taxable value - Circular F. No. B. 11/1/2001-TRU, dated 9th July, 2001

14. Valuation of taxable service Supreme Court Case C K JIDHEESH Vs UNION OF INDIA 2005-TIOL-135-SC-ST Decided on 27.10.2005 It was held by that a photographer does not sell the goods but provide only services thus, Board letter is incorrect that value of material consumed is deductible for value of taxable service. The Supreme Court held that the question of bifurcation "the receipt into an element of goods and the element of service cannot and does not arise". and upheld the KERALA COLOUR LAB. ASSOCIATION 2003 (156) E.L.T. 17 (Ker.) .

26. In the words of Mahatma Gandhi “ You must not worry whether the desired result follows from your action or not, so long as your motive is pure, your means correct”

27. ……… Thank you………..