05 February 2009
A is doing job work of painting powder coated on c/fan blades and geysers outer body for B in B's premises with himself with his labour on the material provided by B and billing made on the basis of completion of pieces and getting the paynment after deducting of TDS by B .these painting blades and outer body are finally assembled in the final product and is taxable in excise vide Code No.84149030 and 85169000 and excise duty paid on final product by B . Whether Service Tax Provisions are applicable in relating to 1. Manpower Recruitment or Supply Agency's Services 2.Business Auxiliary Services Here A is doing job work for B in B's Premises .
05 February 2009
Service Tax provision is applicable under business auxiliary service- i.e. job work not amounting to manufacture. However, the final product is dutiable, the service provider can claim exemption under ST 8/2005
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