Deposit of service tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

06 October 2014 An individual furnishes a bill showing service tax 12.36% towards AMC of
EPABX. On such service we as a company is required to pay service tax
on reverse charge mechanicm.

Now what we should do,

Whether to obtain written decalartion from him that he has deposited the
service tax or

We should deposit our share of service tax and give him debit note.

Arun Kumar Singh

Arun Kumar Singh (Expert)
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06 October 2014 Service providers are liable to pay service tax.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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06 October 2014 i believe this is being covered under works contract. In such a case, you need to deposit your share of tax. Before paying ensure that the service provider understands the implication of providing services under reverse charge.

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