Service tax is applicable or not

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

18 October 2014 If Service Provider(Haryana) providing the testing service to service receiver (Jammu & kashmir)and service are rendred in Haryana then service tax is apllicable or not..............
its urgent so plz solve my query......

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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18 October 2014 As the service has been provided in Haryana as per place of provision of service rules service tax is applicable.

@VaibhavJ

@VaibhavJ (Expert)
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18 October 2014 According to Rule 4 of POP such service is taxable.

Since Jammu and Kashmir is outside taxable territory, service tax will not be payable only if place of provision of service is J&K. In your case it is Haryana & hence taxable.

Refer: http://taxbymanish.blogspot.in/2014/08/place-of-provisionrules-under-service.html

Thanks

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@VaibhavJ

@VaibhavJ (Expert)
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Querist : Anonymous

Querist : Anonymous (Querist)

18 October 2014 but our company ca says service tax is not applicable because service receiver is take cc against such service because service tax is not applicable........

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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18 October 2014 Ask your CA refer the above link provided.

@VaibhavJ

@VaibhavJ (Expert)
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18 October 2014 Before POP rules coming into picture any services consumed by resident of J&K were exempt, but tax ability criterion got changed upon application of POP rules wherein it clearly stated point when an services is taxable & vice versa.

Thanks