Urgent. --cab operator
This query is : Open
09 September 2013
please suggest if service provider is availing abatement then, provider can also avail reverse charge mechanism... ???
09 September 2013
THERE IS NO QUESTION TO AVAIL REVERSE CHARGE..
WHEREVER REVERSE CHARGE APPLICABLE SERVICE PROVIDER AND SERVICE RECEIVER BOTH NEED TO PAY SERVICE TAX OF THEIR PART WHETHER ABATEMENT TAKEN OR NOT.
HENCE ANS FOR YOUR QUERY IS YES.
WHEREVER REVERSE CHARGE APPLICABLE SERVICE PROVIDER AND SERVICE RECEIVER BOTH NEED TO PAY SERVICE TAX OF THEIR PART WHETHER ABATEMENT TAKEN OR NOT.
HENCE ANS FOR YOUR QUERY IS YES.
10 September 2013
Dear Roshan
The abatement and reverse charge mechanism are two different concept
Normally the concept of abatement prevails where there are chances of dual taxation. So the abatement provides relief to the assessee. It happens where the price includes value of material and service provided.
However the reverse charge mechanism is different from abatement ,where the total liability of service tax is collected from the service provider as well as receiver.and it is not an abatement.
certain portion of burden of liability to pay service tax gets shifted to service receiver as well.
The abatement and reverse charge mechanism are two different concept
Normally the concept of abatement prevails where there are chances of dual taxation. So the abatement provides relief to the assessee. It happens where the price includes value of material and service provided.
However the reverse charge mechanism is different from abatement ,where the total liability of service tax is collected from the service provider as well as receiver.and it is not an abatement.
certain portion of burden of liability to pay service tax gets shifted to service receiver as well.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- REGARDING GST ON COMMERICIAL PROPERTY
- Is this income indian or foreign income?
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- TDS U/S. 194NF
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- Applicable TDS rate for sale of property in Nov 2024
- Donation Receipt u/s 80G
- TDS deduction (debit notes)
- Can a partnership firm become partner in a LLP ?
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- TDS on purchase of value vouchers for employees ?
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
