21 September 2013
Respected sir, we are doing work contracts in sez works. but we are sub contractors under main contractor of sez . we are submitting the bills without collecting vat and service taxes , but as per act sub contractors have no exemption in sez works . but they mentioned in their work order exempted under sez works for all taxes .main contractor is having form A-1 against service tax exemption under notification no. 40/2012 .we have to collect vat and service tax from main contractor or not kindly clarify my query sir.
22 September 2013
As per sub-clause (h) of clause 9 of notification 25/2012 services by a(h) sub-contractor providing services by way of works contract to another contractor providing works contract services which are exempt, are also exempted from service tax.
disclaimer- all answers are given as per the facts narrated by you. Answer may differ after study of full facts/statements/agreements etc. involved in the case
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