Service tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

30 August 2013 I am providing Taxi services to Corporate. My turnover never exceeded Rs.8 Lakh. Eventhough company asked to get enrolled for Service Tax. Should I?

Regards,
Dipak Bhatt

CA Mayank Ogrivala

CA Mayank Ogrivala (Expert)
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30 August 2013 Dear Dipak,

As per my opinion as your value of services does not exceeds Rs. 10 Lakhs, you are not liable take registration. As you are providing " Rent a cab service" to corporate, The company have to pay service tax at effective rate of 4.944% under reverse charge mechanism.(Refer Notification No 26/2012 and 30/2012.)

CA Suresh Jain

CA Suresh Jain (Expert)
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30 August 2013 I agree with CA shri Mayank. The recipient is erroneously asking you to register. They can pay their part of service tax under RCM irrespective of the fact that you are exempted and not registered

disclaimer- all answers are given as per the facts narrated by you. Answer may differ after study of full facts/statements/agreements etc. involved in the case

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Querist : Anonymous

Querist : Anonymous (Querist)

05 September 2013 My company have deducted 40% of Service tax amount from my payment. When my revenue not above limit then how I can ask my refund from department?

CA Suresh Jain

CA Suresh Jain (Expert)
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05 September 2013 This is the amount of service tax which the receiver is liable to pay. It is now up to you to accept it or not.

You can increase your rate or stop serrvice to the company.

Querist : Anonymous

Querist : Anonymous (Querist)

06 September 2013 Thank you very much.