A SSI registed Private Limited company is in the business of making curatins and other related materials. It collects fabrics from customers both from India and abroad and stitches custains, cushion covers and sends it back to the customers.
So does the company has to get registered under service tax and pay service tax on stitiching charges for both local and export.
Further if the company collects the fabrics from the customer and stitches the curtains and install the same at customer place does this also attracts service tax.
11 December 2009
Stiching of covers/ curtains etc being a spearate commodity coming inot being amount to manufacture. Under BAS activities of manufacture not liable. If the same is installed then the possible coverage under erection installation may not be appropruiate. Under business auxiliary also appears to be far fetched. May notbe liable as per my view. This maybe confirmed with your local expert.