The new service tax regime will come into force today. All services, except the 38 services figuring in the negative list, will now attract 12 per cent service tax. The government has also widened the definition of 'Services' to bring in more activities under the tax net. Till now, 119 services that come under 'positive list' were subject to the levy.

But, services like metered taxis, auto rickshaws, betting, gambling, lottery, entry to amusement parks, transport of goods or passengers and electricity transmission or distribution by discoms have been kept in the negative list and will not attract the tax.

Coaching classes and training institutions will come under the net, though the tax will not be levied on school, university education and approved vocational courses.
Railway Minister Mukul Roy has said railways will not introduce service tax on freight and fare from today.