Liability of Service tax

This query is : Resolved

dhirednra kumar mallick (Querist)
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25 June 2011 In an Educational Institution providing school education upto class 12 hiring cab for carrying students & charging the transportation fees to students and the transporter is not charging the service tax & not paying the same , kindly advise who will pay service tax . The service provider or the educational Institution.

Thnaks & regards

CA Vanesh Nadar

CA Vanesh Nadar (Expert)
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25 June 2011 The simple logic of the Service Tax is the person who is rendering the services and raising the invoice for such services needs to collect the service tax. As per my understanding of you query is:

Service Provider charges to the Educational Institution as such he might be charging services on that.

And the education inst. which is also charging the similar payment from the students should charge the service tax.

Any way have it confirmed by your seniors.

Regards

Vanesh