What are the various types of the service taxes? - ProProfs Discuss
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What are the various types of the service taxes?

This question is part of quiz contest - 3 (service tax)

Asked by Jeremiah, Last updated: Jan 08, 2021

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7 Answers

G. Jabez

G. Jabez

G. Jabez
G. Jabez

Answered Jan 05, 2021

There are three types of service taxes: normal charge, reverse charge, and partial reverse charge. The normal charge is paid to the government by the service provider, who has collected it from the service receiver, and the reverse charge is paid to the government by the service receiver.

Finally, the partial reverse charge is where the service provider pays a portion of the service tax to the government and the service receiver. In turn, the service receiver pays the government their portion of the tax. Some of the services for which taxes are charged are workforce, transportation of goods, import and export, and lottery services.

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Maxence

Maxence

Have keen interest in writing, traveller by heart.

Maxence
Maxence , Writer, Vienna

Answered Dec 30, 2020

Normal charge, reverse charge, and partial reverse charge are types of service taxes. With the normal charge, service tax is paid by a service provider. The service provider changes service tax from the service receiver and collects deposits from the government. The service receiver pays reverse service tax, and the service receiver collects and deposits service tax directly to the government. Partial reverse charge is when service tax is paid by the service provider and some by the service receiver. Some service providers' portion of service tax is paid to the government and some directly to the service receiver. India's central government levies service tax on services provided or agreed upon excluding services covered under a negative list and considering the place of provision of service rules and collected as per point of taxation rules.
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E. Reyes

E. Reyes

Building buildings and building intelligence

E. Reyes
E. Reyes, Builder, graduate, Birmingham

Answered Dec 23, 2020

There are three types of service taxes that you should become familiar with. The first one is the normal charge. This means that it is the provider’s responsibility to get the taxes from those that he would provide services to. He would collect them then pay them to the government.

The second type of service tax is the reverse charge. This is not as common as the normal charge. This time, the service receiver will pay for the taxes and he will also deposit the payment for the tax to the government.

The third and final type of service tax is the partial reverse charge. This time the service receiver and the service provider both pay for the service tax. The service provider will deposit the money to the government. This type of service tax is not usually implemented.

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C. Hughes

C. Hughes

Learning new things along with my music

C. Hughes
C. Hughes, Musician, MA, Bradford

Answered Dec 22, 2020

There are different service taxes that you should know. These are the following:

−Normal Charge: This means that the service tax will be paid for by the service provider. This is the most normal type of service charge that you will encounter. This is what you will be most familiar with.

−Reverse Charge: This means that the service tax will be paid for by the receiver of the service. While this may be somewhat rare, it still happens.

−Partial Reverse Charge: This means that the service tax will be shouldered by both the service receiver and the provider. This is even rarer as compared to a reverse charge.

Getting to know the different service taxes will be very useful when you are getting services from companies.

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Anthony Paul Bonadio

Anthony Paul Bonadio

Its kind of my job to give answers

Anthony Paul Bonadio
Anthony Paul Bonadio, Teacher, MCA, PhD, Toledo

Answered Dec 18, 2020

There are different types of service tax, and of which service tax is part of them. Nevertheless, we still have three different types of service tax. These would be discussed as we go further in this article.

1. Normal Charge: In this type, the service provider is the one that takes responsibility for paying the service tax. The service tax is charged from the service receiver by the service provider, then he collects and makes a deposit to the government. This is normally implemented in most cases.

2. Reverse Charge: Here, the service receiver pays the service tax, and he makes the deposit of the service tax to the government directly. This is a case that is rarely implemented.

3. Partial Reverse Charge: In this case, the service provider makes the payment of the service tax, and the service receiver also does. This simply means the service provider makes a deposit to the government, and the service receiver also makes a deposit directly. This case is the rarest of the three.

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Brendan

Brendan

Always excited to learn and talk about new topics

Brendan
Brendan , Analyst, NY

Answered Dec 16, 2020

There are about three types of service taxes, they are; reverse charge, normal charge, and partial reverse charge. These three types of service taxes differ from one another. Reverse charge is a type of service tax that is paid by the person receiving the service. Normal charge is a direct opposite to reserve charge. It is a type of service tax that is paid by the service provider. A partial reverse charge is a type of service tax in which the service tax is paid by both the receiver and the service provider. The service tax being paid for a reverse charge goes to the government. For normal charge, the service tax comes from the service receiver, and it goes to the government by the service provider. For partial reverse charge, a part of it goes to the government by the service receiver, while the rest is paid to the government by the service provider.
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M. Delilah

M. Delilah

M. Delilah
M. Delilah

Answered Dec 11, 2020

There are three types of service taxes, including Normal charge, Reverse charge, and Partial Reverse charge. For the standard amount, the service tax is paid by the service provider. The service provider charges service tax from the service receiver and collects and deposits to the government, and this is the most typical case. With a reverse charge, service tax is paid by the service receiver. The service receiver deposits the service tax directly to the government, and it is a rare case.

Finally, a partial reverse charge is when the service tax is paid by the service and some by the service receiver. A portion of the service tax is paid by the service provider to the government and some directly to the service receiver. It is a very rare case.

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