NEED CLARIFICATION REGARDING ST LIABILITY ON CAR HIRE CHARGE

ramprasad balimidi (MANAGER - ACCOUNTS) (30 Points)

30 March 2011  

NEED CLARIFICATION REGARDING ST LIABILITY ON CAR HIRE CHARGES

Hi friends,

Could you please clarify my doubt regarding service tax liability in the following situation:

Individual assessee has given a car on rent (only car & he will not provide any driver or any thing else) for hire to a company and for which he receives an amount of Rs.2L as rental charges per month. Whether the service tax applies in this regard if so, under which category i.e. Rent-a-cab or Tour Operator?

Kindly help me out in this regard.

Thanks & Regards

Ramprasad B