I want to start a campaign againt the huge service tax charged in India?

The service tax at more than 12% literally means that every 1 rupee out of 8 rupees from a middle income man, who wants to spend or enjoy or engage in a future-building activity or sometimes invest, is robbed off. Can it be reduced? Are we getting better returns for the money taken from us. Is it the level in other advanced countries ? Can we make it somewhat as simple as 5% before next budget ?

7 Replies to “I want to start a campaign againt the huge service tax charged in India?”

  1. As long as its used in the proper way I’ll be ready 2 pay. But since thr is a lot of corruption, it does make me think. At the same time I’ve always felt that Indians handle things well when it comes to economics

  2. good now first things first find out where do you get a semiautomatic assult rifle. then ………….. u know how to get yourself heard in case you have any problem rent a rambo movie itill help greatly.

  3. Having seen this question, what was deep in my mind has come out. Definitely, the service tax charged in India is very HIGH. Common man, why common man, even salaried people of this country can not afford it. It was started as 3% some years back and has now reached around 12% and all of us feared that it would have been hiked to 15% in last budget. It all started with reduction in customs duty to bring it to the level of other Asian countries. But I can not understand how it helps a common man who buys a TV or a Fridge once in a life time, because lowering of peak customs duty to 10-15 percent has helped only industrialists and manufacturers and may be bulk users. But to gap the bridge, service tax was raised every year. One or a few items are added to the service tax list every year. I feel the Finance Ministry is to be blamed for this as they have not found any other ways to fill the treasurery. It is indeed unjust and against all norms that this service tax is incresed and new items added to the list every year. A telephone bill of Rs.1000.- has to pay nearly Rs.130-140 as service tax and tax on service tax. I am really fed up with this. Instead of looking for other sources of income for the government, the babus sitting in the finance ministry finds it easy to suggest a raise in service tax. Whoever pays the service tax finally adds that amount to the bill and gives it to the consumer and he is the person finally paying all service taxes. IT IS UNJUST AND IT SHOULD BE REDUCED TO THE LEVEL OF 5-6 PER CENT.

  4. VAT in UK is 17.5 % in India it is still 12%. It will soon go upto 16 %..
    I tottaly agree with u that it should be reduced to a level where people dont feel the pinch.

  5. All the fears expressed are bogus. Where is the problem when you get credit on input goodsas well as input services. Actual service tax is much less. I agree with govt to bring ST at par with excise duty thus paving the way for easy introduction of single VAT through proposed of GST in India

  6. Giving input credit for service tax on goods and sevices does not help the low income consumer who is charged service tax on basic services like telephone. Who are the people who benefit if customs duty is cut ? it is people who can afford to buy luxury goods, is it justified to bring every citizen under the service tax net to benefit the needs of a consumers who can afford luxury goods or electronic gadgets.

    The govt. is robbing the poor so the rich can have an affordable lifestyle.

  7. The Government is planning to bring a uniform Goods and
    Services Tax in 2010,maybe after that there will be a reduction
    in the taxes.Value Added Tax in the states has been reduced
    and compliance improved,so taxes should moderate in future.
    Paying taxes is not difficult but the procedures and laws are
    cumbersome and frequent changes confusing.

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