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Exemption query

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Querist : Anonymous

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Querist : Anonymous (Querist)
18 October 2013 ABC Ltd. provides service to government (Defence) and the same is exempt under notification 25/2012.
For a job work (Repairs) exclusively meant for the government work, it hires XYZ Enterprise (Sole Proprietor registered under Service Tax). Invoice is prepared in the name of ABC Ltd.
Should XYZ Enterprises charge Service Tax on the Job work? Please explain the concept.
Thank u in Advance :)
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Arun Kumar Singh

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Arun Kumar Singh (Expert)
18 October 2013 No need to charge service tax.

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