Work Contract, Service Tax

[sukhvinder singh]

Respected All,

 

Please explain me what is work contract with suitable exemple. i am not understand supply of manpower for any purpose or service portion in execution of works contract by any individual, Hindu Undivided Family or partnership firm, whether registered or not, including association of persons, located in the taxable territory to a business entity registered as body corporate, located in the taxable territory;

Thanks

Posts / Replies

[Saji John]

e.g. if a contractor is hired for supply of Laborer for executing any particular work say breaking of a platform, clearing the debris from the site etc. If the said contractor is an individual, HUF, is a proprietor firm, partnership firm or AOP whose location is within taxable territory is engaged with you who are a business entity registered as body corporate i.e. Pvt. Ltd. or Public Limited Co. also located in taxable territory then the Invoice paid are taxable. Hope this cleared your query

[sukhvinder singh]

Thanks