Applicability of service tax
This query is : Resolved
17 August 2015
dear expert,
whether the textile company has following work outsourced to contract basis-
1) mending work- total bill raised for the year approximate 4200000.
2) Folding work- total contract bill amount of Rs approximate 500000
please advise me for above given situation, what is applicable of service tax, if yes what is tax rate and also limit of service tax applicable.
thanks
whether the textile company has following work outsourced to contract basis-
1) mending work- total bill raised for the year approximate 4200000.
2) Folding work- total contract bill amount of Rs approximate 500000
please advise me for above given situation, what is applicable of service tax, if yes what is tax rate and also limit of service tax applicable.
thanks
17 August 2015
It will come under work contract-original contract.
40% is chargeable.
40% is chargeable.
17 August 2015
No service tax payable if it falls under manufacturing activity for which excise duty is payable.
17 August 2015
sir,
this is no manufacturing activity. company has given work of check to cloth which is rectify of error in cloth.
this is no manufacturing activity. company has given work of check to cloth which is rectify of error in cloth.
17 August 2015
14% service tax payable on 50% value of contract under RCM by the company.
19 August 2015
40% is taxable amount in this case as I already stated.
19 August 2015
This contract will not fall under original works. What about RCM.
19 August 2015
pls clearify what is original work???
19 August 2015
Construction of building is original work for which service tax payable on 40% value. Whereas for building repair work service tax payable on 70% value.
Your work of mending and folding is not original work.
Cloth manufacturing is the original work in your case.
Your work of mending and folding is not original work.
Cloth manufacturing is the original work in your case.
19 August 2015
thank you for giving suggestion. and once again thank you sir.
20 August 2015
@Narayan:-
Please go through detailed provision of work contract service, there are various If's & but's which you need to trace out for application of service tax.
In mega notification, there is exemption to Printing without material, moreover even material are provided then you havwe to check under which catagory it will fall, there are three sub type in work contracts.
Please go through detailed provision of work contract service, there are various If's & but's which you need to trace out for application of service tax.
In mega notification, there is exemption to Printing without material, moreover even material are provided then you havwe to check under which catagory it will fall, there are three sub type in work contracts.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- GST on export of services and Input Credit
- ITC temporary reversal and reclaim
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- TDS U/S. 194NF
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- Applicable TDS rate for sale of property in Nov 2024
- RCM INVOICING FROM NOV-2024
- Import license renewal
- How to determine cost of acquisition of shares on De-merger or Merger
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding einvoice taken on nil rated sales
Trending Online Classes
CAclubindia
