In order to sort out difference of opinion on definition of services and also to discuss expansion of tax net for services, the state finance ministers will meet on March 3.
Consensus on single definition of services is expected to pave way for inclusion of more economic activities under the tax net.
Chairman of the Empowered Committee of State Finance Ministers on Goods and Services Tax (GST) Sushil Modi hopes that a final view would emerge on the definition of services in the meeting. It is widely expected that in the Union Budget on March 16, the government is expected to keep 22 services in the negative list and impose 10 percent tax on all other services.
A proper definition of service will help the government in imposing levy on more economic activities and also prevent tax-related disputes.
Last month, the Empowered Committee had approved imposition of service tax based on a negative list of services.
At present, the tax is levied on 119 services. For the current fiscal, the centre hopes to mop up Rs 82,000 crore from this levy.