01 November 2012
Dear Sir, We are a CHA (Custom House Agent) & provideing services of pure agent to our clients. Certain expenses we are incurring on behalf of our client & get it reimbursed from our clients(without any mark-up on the same i.e. as it is basis) and on certain expenses we add some margin & charge the same to our client. what will be position of service tax on both the cases under new regime of S.Tax. Apart from theses we charge agency charges that are subject to service tax. ThX:
01 November 2012
There is no effect of New Service Tax mechanism on above. Pure Agency charges recovered by you will continued to be excluded for service tax purposes