Confused About April 1st Service Tax Rate Change? Need Advice on 14% vs 12.36%

Avishek Jana
Should I prepare an invoice from the 1st of April based on a 14% service tax or 12.36% tax? As per the new budget, it is heard that the rate of service tax is going to be changed, but I have not received any circular. Please help me regarding this matter.
mani_pooja
Tax Rate Change Update

The rate change is not yet effective. The finance bill has to be passed, and then a date will be notified for the change in the tax rate.

Currently, you may continue using the same rate of 12.36%.
Avika
Current Service Tax Rate Update

The new rate of service tax is not effective from April 1. The date of applicability of the new rate shall be informed after the passing of the Finance Bill by the Parliament. As of now, the rate of service tax is 12.36% only.
creativechennai
Relevant portion of D.O.F. No. 334/5/2015-TRU dated 28th February, 2015 is produced below:
“ The new Service Tax rate shall come into effect from a date to be notified by the Central Government after the enactment of the Finance Bill, 2015.”
shaukat59
Dear all,

According to Gazette notification no. 7/2015 dated 1st March 2015, it is clarified that in certain types of services, the client shall pay 100% of the service charge. Contractors and service providers shall not be held liable for this purpose. This amendment is effective from 1st April 2015.
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