Service Tax on reverse charge method - reg., Service Tax

[vinay wakde]

Our company is owned the Barges/Mini Bulk Carriers to bring the Raw Material & sale of finished goods through sea route.  The crew members & Master for the Barges /MBCs are provided by private limited shipping company   as per Manning contract. The shipping company is providing the service under service category “Ship Management Service”.

Kindly advise us  whether  the service provided by shipping company will be correctly falls under category “Ship Management Service” or as per the nature of the service it will be  interpreted as “Manpower supply” after 01.07.2012 and the service recipient has to pay service tax on reverse charge method.

Regards,

VINAY

Posts / Replies

[Pradeep Khatri]

It will depend on the scope of work as enumerated in the contract in which you and your service provider is a party.