Rent a cab services

This query is : Resolved 

21 August 2012 Hi,

Please advise on the below :

My company is a private limited company and does not have a service tax registration as is covered in Export of Service.

We are receiving a cab service from a provider which is a firm.

Post July 2012,they are asking us to pay 40 % service tax as incidence of service tax is moved to service receipent which we can not do as we do not have a service tax registration.

What is the resolution on this ?

Please advise at the earliest ..

Regards,
Supriya


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Guest

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Guest (Expert)
21 August 2012 As per reverse service tax mechanism you are required to get registered for service tax and pay 40% s.tax and file return without any basic exemption. and if this cab services is used for export purpose then you can claim refund of the entire service tax i.e.100%
another way is change your service provider i.e.if service provider i.e. cab provider in your case , is company then you will not be required to pay 40% service Tax and not liable to registration but still you can avail refund

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Guest

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Guest (Expert)
21 August 2012 avail refun if service is used for export purpose only. for any query you can further ask on this site or email me on vivektrivedi1411@gmail.com




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