23 April 2009
What is position after Notification 29/2008 26.6.2008 & notification 1/2009 dt. 05.01.2009
If A owner of Vehicles gives to B GTA ( both Registered in Service Tax) to use for a customer (other than specified customers like ltd co., pvt.ltd, partnership firm.
What is liability of A To Charge service tax?
Should B also charge service tax?
if B also owns his vehicles and hires it to customer or Another GTA then what is liability to service tax?
25 April 2009
If A rents the vehicle without effectively transferring the right of possession or control to B, then, it cannot charge service tax as exempted by Notification 29/2008. But B should collect service tax from it's customers for providing GTA, if they providing the service.
Regarding renting of vehicles by one GTA to another, the same logic should apply.