What is Service Tax rate for Security Services Agencies & who has paid this Service Tax & what is ratio.We used Security services for factory can we availed Cenvat credit?
10 May 2016
The rate of Service Tax for Security Services is ST 14% plus SBC 0.5% plus KKC 0.5% (w.e.f. 1st June 2016). Service Tax and KKC are available as CENVAT Input Credit. If the service provider is a non-corporate entity and the service receiver is an corporate entity then the service recipient is liable to pay 100% of the tax under Reverse Charge Mechanism - else the liability is of the service provider. In either case CENVAT Input Credit is available.
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