Software Tax

This query is : Resolved

Mallika Padmanabhan (Querist)
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14 October 2009 We are selling software which are of two types.

1. Internet download at customer place

2. Through CD/DVD

In the both case we are getting purchase bill which is charging CST & Service tax.

Please guide me which type of tax we have to charge to our customer for the above two transaction

Madhukar N Hiregange

Madhukar N Hiregange (Expert)
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28 October 2009 Maybe ideal to charge both since you are already charged both.Buying pyhsical CDs ST is not applicable at all, there is no doubt inthe matter.

However in my view in both the cases above only CST / VAT should be charged and not Servic eTax. However the ITSS services covers the electronic download.