Category - Liability of service tax

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..... Category - Liability of service tax
Query (Issue) Started By: - Vijay Chitte Dated:- 21-3-2007 Last Reply Date:- 24-3-2007 Service Tax
Got 1 Reply
Service Tax
"A" contract with "B" that, .....

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..... "B" is providing a service in the fields of arrangement of traveling facility to "A". For that "B" availed services from "C" (Other travel agency) for hiring a Car/Motor car for providing service to " .....

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..... A". Now "C" raise the bill to "B" Rs.10490/- in the following manner. Amount Rs.10490/- [10000 + 490 (4.9% Service tax) =10490] B" paid this amount to "C". And last, B raise this bill to A including o .....

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..... f his margin of Rs.1000/- in the following manner. Gross Amount Rs.11000/- (10000+1000) + Rs. 1346/- (12.24% Service tax) = Rs.12346/- My query is: As per above activity is laible to service tax for “ .....

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..... B” ? If yes, under which category of service? Reply By Surender Gupta: The Reply: Your query itself is clear and I do not see any confusion. Taxable Category of the service is the same for "B" and "C .....

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..... " and both are liable to pay service tax. If they do not avail the exemption, the benefit of CENVAT credit would be available.
Discussion Forum - Knowledge Sharing .....

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