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Taxability - website and software development - Liability of Membership fees, Service Tax

Issue Id: - 149
Dated: 20-4-2006
By:- Ramvir

Taxability - website and software development - Liability of Membership fees


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My client is engaged in developing software as well as websites,and aslo receiving membership fees from its customers. My querries are 1 whether sofware and website development covered under the service tax or not. Whether membership fee is liable to service tax or not Regards CA Ramvir

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1 Dated: 21-4-2006
By:- Surender Gupta
Software development and website development activities are not liable to be service tax. However, membership fees may be taxable. For this purpose it has to been seen that for what purpose you are charging membership fees. For accessing data, it will be chargeable.

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