Should i register in service tax ?

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Rajneesh (Querist)
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25 March 2014 I open my business of powder coating giving powder coating services to different companies in 2013-14 now the billing of my business is exceding 9 lakhs so wat i do ,should i register it in service tax or if register should i pay the tax of 2013-14 or not?

Arun Kumar Singh

Arun Kumar Singh (Expert)
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25 March 2014 If service value is less than 10 lakhs then no need to registered with service tax and no need to pay duty.

Rajneesh

Rajneesh (Querist)
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26 March 2014 in which category or code are my services can u explain..wats its rate?how is to be register?

Aashok Kumar Sharma

Aashok Kumar Sharma (Expert)
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25 July 2025 Here’s a clear guide for your powder coating service and service tax registration:

1. Is Service Tax Registration Mandatory?
Threshold limit: If your aggregate turnover exceeds Rs. 10 lakhs in a financial year (Rs. 9 lakhs is close but below threshold), you must register for service tax.

Since your billing is exceeding Rs. 9 lakhs in 2013-14, you should check if it crosses Rs. 10 lakhs in the entire year. If yes, you must register.

2. From When Should You Register and Pay Service Tax?
You must register as soon as your turnover crosses Rs. 10 lakhs in a financial year.

If you cross the threshold during the year 2013-14, you should have registered from that point onward.

Service tax is payable only from the date you cross the threshold. So no tax is payable on turnover below Rs. 10 lakhs.

You do not have to pay service tax retrospectively on the turnover before crossing the threshold.

3. Service Category and Rate
Powder coating is typically classified under “Works Contract Services” or “Business Auxiliary Services” depending on the exact nature of your service.

Mostly, powder coating services fall under Works Contract Services (Service Code 9986).

Service tax rate (as of 2013-14) was around 12.36% (including Education Cess and Secondary & Higher Education Cess).

4. How to Register for Service Tax?
You can register online at the Central Board of Indirect Taxes and Customs (CBIC) website: www.cbic.gov.in

Required documents include: PAN, proof of business, bank details, and details of your premises.

After registration, you will get a Service Tax Registration Number (STN).

Summary:
Register as soon as your turnover crosses Rs. 10 lakhs in the financial year.

Service tax payable only from the date threshold is crossed.

Powder coating generally falls under Works Contract Services at ~12.36% rate.

Register online on CBIC portal and start filing service tax returns periodically.

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