i want to know the diff b/w Rule 5 & N.N 12/2003???
Rule 5 specifies the material sold by service provider while providing service shall be included & taxable to ST....
While NN 12/2003 specifies for taxable sevive these material sold shall be excluded...
Help me plz...
CA Shilpi Jain
(Indirect taxation)
(155 Points)
Replied 09 September 2009
which rules are you talking about?
CA Shilpi Jain
(Indirect taxation)
(155 Points)
Replied 09 September 2009
Rule 5 is on pure agent where it says any expenses or costs incurred will be included in the gross value.
Futher materials consumed in providing service will be included in the gross value. THere is a difference between materials consumed and materials sold.
N N 12/2003 states that the materials sold can be deducted from the gross value.
Hope this clarifies
CAclubindia
