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exemption limit

This query is : Resolved 

15 June 2010 Dear all


A p.ltd has two branches one at delhi and other one at haryana and its head office at kolkatta. A p.ltd has agreement with other company to sell goods on consignment from gurgaon branch and delhi branch and get commission. A ltd get commission say rs.600000/-at gurgaon branches and say 650000/-at delhi branch.pls advise in this case service tax is appliacble or not .service tax exemption limit 10,00,000 is applicable seperately for gurgaon and delhi branch.


15 June 2010 Registration is branch wise or centralized?

15 June 2010 Dear Kothari ji


A pvt ltd is not registered with service tax deptt.however its have excise registration at delhi and haryana and at H O no business activity.

15 June 2010 The exemption of Rs. 10L is per person per year. Exemption of Rs. 10L for each branch not available.

In the given facts, service tax liability arises.


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