The Government has exempted a number of essential items including food grains, edible oil, sugar, salt, fruits and vegetables, fertilizer, petroleum products, motor vehicles transported through railways and waterways from service tax. Similarly, the transportation of defence, relief material , postal mail bags, military equipment etc. have also been exempted from service tax of 10%   levied in the Union budget of 2009-10 effective from Tuesday, Sept, 1,2009.