The word “Support Services” was substituted with all services vide The Finance Act 2015, which was made effective from 01.06.2015. However, effective date of amendment of the section was notification w.e.f. 01.04.2016 thereby all services provided by the Government is subject to service tax on reverse charge basis.
In my article published in our Bulletin in the month of April 2012 provided the Frequently Asked Questions (FAQ), wherein I have clarified what is Government ? and what are the services provided by the Government ? which is reproduced below…
All services other than following provided by the government are excluded from the definition of service.
- Services by the Department of posts by way of speed post, express parcel post, life Insurance and Agency services provided to a person other than Government.
- Services in relation to an aircraft or a vessel, inside or outside the precincts of a port oran airport.
- Transport of goods or passengers.
- Support services, other than services covered under clauses. (i) to (iii) above, provided to business entities;
Some of the examples are: providing Birth / Death Certificate, Marriage Certificate, Completion Certificate, Passport, etc.,
Since all Services provided by Government are now excluded from the negative list by amending Sec 66D which has been made effective from 1st April 2016 and hence recipient of such services from the government have to discharge 100% service tax liability on Reverse Charge Mechanism.