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Two companies in different states, Service Tax

Issue Id: - 106703
Dated: 12-4-2014
By:- Amit Kumar

Two companies in different states


  • Contents

Hi,

We have two partnership firms in two different states(Delhi, UP). One of the company in Delhi gets some orders. Can other company (in noida) fulfill this order. What kind of taxes should be paid by both the companies. How to minimize taxes?

Pavan

Posts / Replies

Showing Replies 1 to 2 of 2 Records

Page: 1


1 Dated: 17-4-2014
By:- Madhukar N Hiregange

What type of order is important,

If goods then VAT/CST

If services then the service provider is to charge Service tax if above 10 lakhs.


2 Dated: 23-4-2014
By:- Amit Kumar

Let's assume if we provide service and we charge a minimal service fee like 1 RS or so. Is it incorrect to charge too minimum service charge?

Also as soon as we receive order in company A, we get product packed from company B and delivered to company A. Please note that both companies are registered in different state. I guess company B will have to pay VAT/CST + Service Taxes. What taxes will company A pay?
 


Page: 1

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