Applicability of upvat

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 November 2012 dear all,
plz clarify my doubt regarding an issue:

purchased a crane for giving it on hire and charging service tax too on invoice. but whether i m also covered under right to use of goods and liable to charge VAT on the invoice amount....

urgent

CA Manish Agrawal

CA Manish Agrawal (Expert)
Follow

28 November 2012 So Far as Basic Fundamentals about charging of Indirect Taxes are concerned, either Service Tax or VAT only one of them should be charged, You may refer the speech of finance Minister at the Time of introducing Service Tax, He Said, " Sir, Since Service Secor is Not being Charged any Tax, I propose to Start levy of service Tax on 3 services namely..." and it is also well establised in the Court of Law That any Transaction Should be considered as Sales or Service, hence Either VAT or Service Tax one should be Charged at the Time of raising Bills (not Both). You may Further Refer the Negative List of service Tax That if a Transaction is being regarded as Sales, it can not come under the ambit of service Tax.
Hope you may able to make Clear the Things now..
FCA Manish J. Agrawal
[STS, BCom, FCA, DISA, DIRM, SAP(e-L)]