Directors remuneration - 3rd amendment rule
This query is : Resolved
10 August 2012
Monthly remuneration given to a director! Is tax applicable in this case ? Or exempted due to employer-employee relationship ?
10 August 2012
Tds is not applicable
10 August 2012
Remuneration given to executive director does not come within the definition of service to charge service tax.
There is employee - employer relationship and most importantly in the course of empoyement.
if any amount is paid other than in course of emmployement then only it will be chargeable for service tax.
There is employee - employer relationship and most importantly in the course of empoyement.
if any amount is paid other than in course of emmployement then only it will be chargeable for service tax.
10 August 2012
Service tax (third amendment) rules, 2012 - amendment in rule 2
Notification No. 46/2012-ST, dated 7-8-2012
In exercise of the powers conferred by sub-section (1) read with sub-section (2) of section 94 of the Finance Act, 1994 (32 of 1994), the Central Government hereby makes the following rules further to amend the Service Tax Rules, 1994, namely:—
1. (1) These rules may be called the Service Tax (Third Amendment) Rules, 2012.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Service Tax Rules, 1994, in rule 2, in sub-rule (1),-
(A) in clause (d), in sub-clause (i),-
(i) after the item (E), the following item shall be inserted, namely;-
"(EE) in relation to service provided or agreed to be provided by a director of a company to the said company, the recipient of such service;";
(ii) in the item (F), in the sub-item (b), after the words "manpower for any purpose", the words "or security services" shall be inserted.
(B) after clause (f), the following clause shall be inserted, namely:—
"(fa) "security services" means services relating to the security of any property, whether movable or immovable, or of any person, in any manner and includes the services of investigation, detection or verification, of any fact or activity;"
Notification No. 46/2012-ST, dated 7-8-2012
In exercise of the powers conferred by sub-section (1) read with sub-section (2) of section 94 of the Finance Act, 1994 (32 of 1994), the Central Government hereby makes the following rules further to amend the Service Tax Rules, 1994, namely:—
1. (1) These rules may be called the Service Tax (Third Amendment) Rules, 2012.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Service Tax Rules, 1994, in rule 2, in sub-rule (1),-
(A) in clause (d), in sub-clause (i),-
(i) after the item (E), the following item shall be inserted, namely;-
"(EE) in relation to service provided or agreed to be provided by a director of a company to the said company, the recipient of such service;";
(ii) in the item (F), in the sub-item (b), after the words "manpower for any purpose", the words "or security services" shall be inserted.
(B) after clause (f), the following clause shall be inserted, namely:—
"(fa) "security services" means services relating to the security of any property, whether movable or immovable, or of any person, in any manner and includes the services of investigation, detection or verification, of any fact or activity;"
27 August 2012
Regarding Service tax, if the director is the whole time director/Excutive director or MD then they are coming under employer - employee relationship. For other independent directors, tds and service tax @12.36% will have to be paid by the company vide notn 46/2012-ST dt 07.08.12.
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?
- REGARDING GST ON COMMERICIAL PROPERTY
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- GST on export of services and Input Credit
- TDS U/S. 194NF
- ITC temporary reversal and reclaim
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- Applicable TDS rate for sale of property in Nov 2024
- Should I report my US salary for January, February, March in Schedule FA?
- Can a partnership firm become partner in a LLP ?
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- 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
- TDS on purchase of value vouchers for employees ?
- 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?
Trending Online Classes
CAclubindia
