90% abatement under service tax for service related to “Transport of passengers, with or without accompanied belongings, by air, embarking from or terminating in a Regional Connectivity Scheme Airport”

By Notification No. 38/2016, service tax, Dated 30^th August 2016, the department has amended notification No. 26/2012, service tax, Dated 20.06.2012.

In notification No. 26/2012, in the table, after entry 5, the entry no. 5A inserted.

Sl. No.	Description of taxable service	% of service tax	Conditions
5A	Transport of passengers, with or without accompanied belongings, by air, embarking from or terminating in a Regional Connectivity Scheme Airport.	10%	CENVAT credit on inputs, capital goods and input services, used for providing the taxable service, has not been taken by the service provider under the provisions of the CENVAT Credit Rules, 2004.”

In notification no. 26/2012, after paragraph 2, the following paragraph shall be inserted:

“2A. Nothing contained at Sl. No. 5A of the TABLE shall apply on or after the expiry of a period of one year from the date of commencement of operations of the Regional Connectivity Scheme Airport as notified by the Ministry of Civil Aviation.”.