Service tax on incentive, Service Tax

[Mangesh khedkar]

Dear sir,

I am service receiver, please tell me, service tax will be applicable on incentive of erection service.

Posts / Replies

[MARIAPPAN GOVINDARAJAN]

Please inform the nature of incentive.

[KASTURI SETHI]

As per Section 67 (3), Service Tax is applicable on the amount of incentive. Note the language, 'Any amount.......' Also see the definition of the term 'Consideration'.

[Ganeshan Kalyani]

As per section 67 consideration includes any amount that is payable for the taxable service provided or to be provided. Any amount will include 'incentive' also. Thanks.