Applicability of service tax

This query is : Open

Gopal Garg (Querist)
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20 July 2016 I am hired as an consultant by a corporate for a fixed monthly sum of Rs.95000/- to be re-imburssed to me against an indepandent invoice in month end.I am at their service from 27th JUne,2016 and thus I am likely to Invoice the principal for Rs.8,67,667/- in total from 27th JUne,2016 till 31st March,2017. My income from other sources for FY 2016-17 shall include interest, dividends etc in the range of Rs.1.00 lac. Also my total income for FY 2015-16 is in the range of 4.00 lac

I seek advice opinion on applicability of service tax in my consultancy job, if yes the its rate, procedure of registration and maintenance of the same.

Thanks & Regards

G G Roongta
ggroongta@gmail.com
+91 77450 42020.

CA AJAY KUMAR AGRAWAL

CA AJAY KUMAR AGRAWAL (Expert)
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20 July 2016 For Service Tax purpose only turnover / gross receipt of Rs 9 Lakhs (for registration) & Rs 10 Lakhs (for payment) is relevant. As you are likely to remain within Rs 9 Lakhs during FY 16-17, there is no need for getting registration. So far as FY 17-18 is concerned, you may take appropriate decision at that time after considering the situation. GST also is likely to be applicable from 01-04-2017. Regarding "category" under which registration is sought, will depend on nature of your area of consultancy.

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Gopal Garg

Gopal Garg (Querist)
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20 July 2016 Dear Experts
I humbly request for a second opinion on the issue please
as I need to submit it before my principla who is UK based to convince them in totality.
I am gratefull to Shri CA Ajay Kumar Agarwal who has opined very quickly and wisely.
My Regards and thanks to him.

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