We are into supply of Imported machines to corporate Hospitals both sale & rentals.
My question is as follows:
Machine given on Lease and collecting CST on the lease rentals as per AP Vat rules @4%. The possession of the machine and the effective control is with the Hospital. In fact, the machine is kept under the lock and key of the hospital only
We would like to know whether this transactions falls under VAT or Service Tax purview?
In continuation to my question, if it is a deemed sales then what would be the situs of taxable event. To be precise where we have to pay the tax whether under the CST or Under state VAT?
As we are in AP state and the supply is in other states then I think CST is leviable? am I right, Sir. Pl let us know.
CAclubindia
