Wednesday, 21st March, 2018

New service tax amendment to affect social networking

16, Sep 2012 By dumb doc

The government had widened the service tax base by including more items under its ambit and defining a negative list. The new tax regime came into effect from July 1 of this month. While a 12% service tax is to be levied on credit cards and debit cards, betting and gambling have surprisingly been kept in the negative list in order to promote the use of black money. Buoyed by a shocked favourable public sentiment, the government has gone a step further and now included some previously unheard-of categories under the ambit of service tax. The latest tax amendment came into effect retrospectively from 15th August 2011 keeping in sync with Dr. Manmohan Singh’s idea of adding a new chapter to the country’s Economic oppression liberation. The new tax amendment targets the country’s youth in particular. NSP or nain sukh prapti, a popular form of a leisurely activity practised by young boys at malls, eating joints and sometimes even on roadsides has made a debut in the list of taxable items. The government reasoned that the malls are able to attract large crowds by way of NSP alone; therefore, it should be a taxable service. The government has even sanctioned a sum of 70,000 crore rupees for the import of sensitive motion sensing cameras to be installed at specific locations inside malls in order to detect those roving eyes. The announcement has not found favour with the girls with some of them complaining about a drop in the incidents of eve-teasing. “Earlier guys used to literally pop out their eyeballs in admiration whenever I used to venture inside this mall; but yesterday none of the guys even gave me a surreptitious glance even though I wore my favourite deep low neck blouse with a micro-mini skirt!”, said Ashleela, a college going girl. But some DRDO (Dumb research and dud organisation) officials were overly optimistic when they hoped to rope in such a technology in tracking the terrorists in the next 50 years. Similarly, eve-teasing passing affectionate comments to girls shall invite a levy of the service tax. But surprisingly, Digvijay Singh’s speeches and remarks have been kept in the negative list and excluded from the levy. Taking a cue from Kapil Sibal’s ambitious idea of censoring monitoring social networking activities of the youth, sending a friend request, liking a status on Facebook or commenting on it will now invite service tax. The girls have been the hardest hit from the government’s move as ‘likes’ and comments on their status messages have begun to dry up. “Earlier I used to get thousands of likes and comments from my hundred friends as soon as I uploaded a photograph or updated a meaningless status on Facebook. But now nothing like it. I wonder if stalkers still visit my profile as I am no longer getting even those fraaaaandship requests!”, said Aishwarya Rai, a 16-year old schoolgirl. Ex-finance minister Pranab Mukherjee has lauded the government’s move. He reasons that by this tax amendment the government estimates to collect an additional 2 lakh crore rupees this fiscal which can make up for the money their ministers pocketed by way of scams easily be diverted towards more scams developmental activities.