One of my client is Civil Contractor, He take sub contract work for civil work. At the time of billing Main Contractor said he had paid full Service Tax on value of Work Contract, so he did not charge service tax on his bill.
Then what we do, we charge ST or not to main contractor ? Department issue a notice of demand to my client, what we do ?
24 April 2010
you are liable to charge & Pay service tax. further there is no cost impect on you and your main contractor becuase after payment to you main contractor can claim CENVAT.