Service tax on labour charges

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

16 August 2013 Dear Sir

Please guide me on following matter
1) One person having business of RCC Contractor on the basis of Labour only, so which services will be applicable for the same? Man power recruitment or any other?

Thanks

Ganeshbabu K

Ganeshbabu K (Expert)
Follow

16 August 2013 1)To treat it as manpower supply of service Service should be manpower supply i.e. under command of Principal Employer.

2)“Supply of manpower” means supply of manpower, temporarily or otherwise, to another person to work under his superintendence or control.’

[Rule 2(g) of Service Tax Rules, inserted w.e.f. 1-7-2012].

3)If payment to contractor is being made irrespective of completion of work it can be taken as manpower supply Service

CA Suresh Jain

CA Suresh Jain (Expert)
Follow

16 August 2013 It is Job work service where raw material (RCC Mix) is given by the principal and your client is carrying out the work of laying it.

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

Upgrade to CAclubindia Pro. Subscribe Now!