New Revised PAN and TAN application fees with effect from 15th November, 2015

The Swachh Bharat cess (SBC) has increased the service tax rate from 14% to 14.5% on all taxable services, including mobile telephone services, travel, PAN (Permanent Account Number) card and TAN from November 15. New Revised PAN and TAN application fees with effect from 15th November, 2015

The provisions of SBC @ 0.5% under the Finance Act, 2015, are effective from November 15, 2015. Accordingly, service tax rate for PAN and TAN also increased from 14 per cent to 14.50 per cent.

 

The new revised PAN and TAN application fees w. e. f. 15-11-2015 are as follows:-

1. For dispatch of PAN card in India: – Rs. 107 (inclusive of service tax).
2. For dispatch of PAN card outside India: – Rs. 989 (inclusive of service tax)
3. For TAN Applications: – Rs. 63 (Inclusive of Service Tax)

 

The government has been wanting to deepen the PAN reach in order to add more taxpayers to the I-T net and ensure better taxpayer services.

Under the new rates for a PAN card to be obtained in India, government will charge Rs 93 as the processing fee and the new service tax levied on it will be Rs 14 which makes the new cost of Rs 107.

 

The Finance Ministry has also clarified that the Swachh Bharat cess will not apply on those services for which payments have been received prior to November 15 and invoices raised before November 29.

 

What would be the value of taxable services for computation of Swachh Bharat Cess? 

As regards the taxable value for the levy of Swachh Bharat Cess, it would be the same on which service tax is levied. Swachh Bharat Cess would be calculated on abated value or value arrived at under the Service Tax (Determination of Value) Rules, 2006, as the case may be.

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