07 August 2012
Manpower Recruitment Services is under the Tax Net of Service Tax....
Usually, the Client who intends to ask for services ensures that the Service Provider is a Regd under Service Tax OR not....
As such it is an additional cost but it may be an input CENVAT credit to avail... The Service tax is @ 12.36 %..
There is a normal billing towards supply of manpower, category of the employee & levy the service tax... Service Tax is applicable only of the Bills raised exceeds Rs. 10 lakhs...
I advise to get register in case wants to develop a client in the nature of Big Corporate...Foreign national etc..ELSE wait for the billing to cross the limit...