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Service Tax on processing charges

This query is : Resolved 

21 July 2008 my client is engaged in the business of manufacturing silver foil from silver bricks. It uses such foil captively.
it also processes silver bricks and converts it into foil for other customers on job work basis.

Q. Will Job Work charges being billed to outside parties be chargeable to service Tax?

If yes please also tell under what heading will this be taxable.

Thanks in advance!!

11 June 2009



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