20 March 2017
Under normal circumstances service provider is liable to pay service tax on services provided, but under reverse charge mechanism service receiver is liable to pay tax and service provider has no liability. For eg : Under import of service, one who is receiving services from outside India i.e. service receiver is liable to pay service tax and service provider has no liability.
Following are few services which are covered under reverse charge mechanism - Goods transport agency - Manpower recruitment - Services provided by lawyers - Import of services
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