04 July 2009
Sir Registered firm having business of minirals and recived materials by truck.firm paid local fright to one truck is Rs.1000.00 including hamalli.firm paid total fright of Rs.25000.00 in a day to diffrent 25 trucks. firm paid below 1500.00 per truck.whether firm is liable to pay service tax or not
04 July 2009
The limit fixed is Rs.1500 if you are paying to goods transport agency and rs.750 if you are paying to individual.
Since your payment is rs.1000 first you should divide to whom you are paying. Then for individuals since it is more than 750 service tax is payable after abatement.
For goods transport agency since it is less than 1500 service tax is not payable.