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tax on each consignment

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Querist : Anonymous

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Querist : Anonymous (Querist)
16 December 2010 dear experts,

my querry is that

Ours is a coffee curing works, we are availing transportation service and deducting service tax to growers who gives their agricultural produces to us for sale/consignment purposes.In all cases we are arranging vehicle from our place to planters place and hire will be paid by us after deducting service tax if the hire is more than 1500/-per planter.
My question

01.whether transporting of coffee seeds will attract service tax
02.as we are deducting service tax if the hire is more than 1500/- whether this is correct or we have to deduct the service tax if it exceeds 750/-
Please clarryfy

17 December 2010 1. Service tax is applicable in your case.

2. If the hire is above 750/- ( in case of single consignee as you are ) , service tax is applicable.



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