TMI BlogApplicability of Service Tax.X X X X Extracts X X X X X X X X Extracts X X X X ..... Dear Sir, I have a doubt in following cases, it is requested you please solve my query. 1. Service tax applicability on Sub contractor. A plumber (sub contractor, he is an individual) provide service to contractor and raised bill of Rs. 20 lakh, whether he is liable to pay service tax if not who is liable to pay. 2. Computer AMC services provided by an individual service provider to Company and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... charged Rs. 20000/- PM, The above AMC includes only labour portion (for any material they raised separate bill), in this situation company can liable to pay Service tax on AMC amount of Rs. 20000/- under reverse Charges. 3. Job work/AMC/Repair Maintenance work without use of material (means only labour portion) covered under defination of Work Contract, if not than the above service are liable ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for service tax. 4. Under reverse charge the POT Rule was date of payment when payment made within 6 month, otherwise date of issue of invoice, if a service provider issued bill on August end the service recipient (company) not pay the bill within 6 month, what is the POT under this situation. If company file service tax return for the period April to Sept. without considered august bill. C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an company revised service tax return. With Best regards, CA VIKAS AGGARWAL +91-8800549233 - Reply By Pradeep Khatri - The Reply = Reply to Point No. 1 Please refer para 7.11.10 (H) of the Service Tax Educational Guide which state 'sub-contractor providing services by way of works contract to another contractor providing works contract services which are exempt; If the services fa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lls under this category, then it will be exempted otherwise service tax will be applicable. Reply to Point No. 2 Individual may not be liable to pay service tax due to threshold limit. But if the recipient is company then they would have to pay the service tax under partial reverse charge mode provided material involved in this transaction. Reply to Point No.3 Yes, if such service does no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t fall under the category of partial reverse charge mechanism, then service provider will charge the service tax while raising the bills provided crossing up the threshold limit held. - Reply By Vikas Aggarwal - The Reply = Very very thanks Mr. Pradeep Khatri for your suggetion. Sir i have doubt in reverse charge that if service receipant not liable to pay service tax under reverse ch ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arge regim service provider is an individual. Than in case of work contract he is liable to pay service tax on full value of bill raised or only 50% portion. Regards, Vikas Aggarwal - Reply By Pradeep Khatri - The Reply = There is no exemption to service recipient in PRCM. If the service provider is individual and he is under threshold limit even then, service recipient is liable to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pay the service tax on 50% amount of the services provided. - Reply By Gautam Vadher - The Reply = Sir, I have higher AMC for Computer Repairing , Can Service TAX Applicable on this Service? Gautam - Applicability of Service Tax. - Query Started By: - Vikas Aggarwal Dated:- 16-10-2012 Service Tax - Got 4 Replies - Service Tax - Discussion Forum - Knowledge Sharing, reply post by an expert ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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