The TRU letter dated 01.03.2011 clarified that Services provided by individuals to other individuals will remain outside the levy.Now, under the Taxable Legal Consultancy services, the service provided by Business entity to another Business entity, Business entity to Individual and Individual to Business Entity are covered.However, the Legal service provided by an Individual Lawyer provided to an individual will also get covered under the taxable service and service tax will become payable on all services.Thus, the overall outcome of this levy will be that individual lawyers will covered under the service tax net.
They have to pay the service tax on services provided to business entities. But the services provided to individuals will be exempt.But earlier they were not covered under service tax and need not to take registration and pay tax. But now they will be covered. We have never seen a lawyer who is providing to individuals only. They provide services to both the individuals as well as to business entities. Get more information on www.ryantriallawyers.com
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