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Maintenance work

sushant gurav (Accountant) (396 Points)

15 July 2011

Sir,

Please tell me whether service tax is applicable on " Work for development and maintenance of and along the road used for transportation of raw material from railway station to plant" if so under which service.

Very Urgent,

Regards,

Sushant

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5 Replies

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 15 July 2011

site formation

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CS,CA F,Numrologi TusharSampat (CS CA F Numerologist Astrologer Graphologist Face reader Vastu Expert) (85930 Points)
Replied 15 July 2011

Originally posted by : U S Sharma
	site formation

AGREED.

CA Unnikrishnan Nair N (Chartered Accountant) (2083 Points)
Replied 16 July 2011

You can possibly bring it under commercial construction and claim the exclusion on construction of roads.

Pinky Agarwal (Chartered Accountant) (426 Points)
Replied 18 July 2011

Originally posted by : sushant gurav
	Sir, Please tell me whether service tax is applicable on " Work for development and maintenance of and along the road used for transportation of raw material from railway station to plant" if so under which service. Very Urgent, Regards, Sushant

Management, Maintenance and repairs of roads, bridges, tunnels, dams, airports, railways and transport terminals have been exempted vide notification no. 24/2009- ST dated 27.07.2009 as amended with effect from 21-12-2010.

So, as per my view the aforesaid service of development and maintenance of road is exempted.

Regards,

Pinky Agarwal.

CA Unnikrishnan Nair N (Chartered Accountant) (2083 Points)
Replied 18 July 2011

Pinky's view is correct if the service involves only managment or maintenance of road. But since developement of new roads cannot fall under this category , commercial construction seems to be appropriate heading. Still constrcution of new road stands exempted.