02 June 2015
Hi, Ours is a private limited company we have given our premises on rental and paying service tax on rental income.
we have other property also which is idle and to protect we have hire security service and security service provider is proprietary firm.
now my question from 1-4-15 do we have to pay full service tax (i.e.12.36%) under reverse charges on security service hire by us and from 1-6-15 it will be 14% ?
secondly if it is yes for above then shall i claim service Tax paid on security service as input service tax credit for paying service tax on rental income or not ?
can i pay net of both or shall i have to pay service tax on security service first and after deducting that balance will be payable on rental income separately.
02 June 2015
1 Yes full service tax has to be paid and from 01-06-15 it will be 14%. 2 No input tax can be claimed on idle building for which no service tax paid. 3 Net of both can't be paid.
CAclubindia
