If on a govt hospital construction site main contractor who is a limited company depute the security guard with the help of security agency and the security agency is not registered with the service tax dept. than how will service tax applicable on main contractor (company) and security agency.
26 July 2013
Are you asking the question for service provider or service receiver?
1) For service provider, the services are taxable if the turnover is above 10 lacs and he has to pay only 25% value of taxable services
2) For service receiver, 75% is payable if the receiver is a Company. In your case you have not mentioned whether the main contractor is a company or not.