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Free service on car provided by dealer to new car purchaser

This query is : Resolved 

27 February 2013 Sir
If Maruti put condition to its dealer that if you want to purchase the car, you have to provide 3 free service to the customer and for that we do not pay anything to you.

Dealer provide free service to customer in regards to above mention condition. Is it consider as free service or paid service?
Is service tax leaved on such service?

If the is any decision or case low, please provicde the text of it.

Reply as early as possible

Thank you.

27 February 2013 If nothing is charged for service provided then there is no question of charging service tax....service tax is a tax which is levied on the value charged for service provided.....



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