shushantsinghal (BCOM(HONS),C.A) (283 Points)
02 July 2011one of my client uses the services of storage tank charges for storing oil & paying service tax on such charges........such storages tank charges are fixed cost for my client.....however my client uses this storage tank for storing the oil of other party and charges storage tank charges from party with some profit ....my question is WHETHER THEY ARE LIABLE TO REGISTER THEMSELVES UNDER SERVICE TAX FOR THIS ACTIVITY.....
IF YES UNDER WHICH SERVICE......
PLZ PARTICIPATE...
jaganathan
(accounts executive)
(272 Points)
Replied 02 July 2011
Yes they should register under Storage & warehousing services accounting code for this service is 00440193
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 02 July 2011
| Originally posted by : shushantsinghal | ||
 |
one of my client uses the services of storage tank charges for storing oil & paying service tax on such charges........such storages tank charges are fixed cost for my client.....however my client uses this storage tank for storing the oil of other party and charges storage tank charges from party with some profit ....my question is WHETHER THEY ARE LIABLE TO REGISTER THEMSELVES UNDER SERVICE TAX FOR THIS ACTIVITY..... IF YES UNDER WHICH SERVICE...... PLZ PARTICIPATE... |
 |
yes, when they are availing storage tanks on hire, then bills are submitted to them, same pattern of input services should be applied for the output services,
they have to register themself with department and discharge duty liabity
CA Himanshu Khurana
(Chartered Accountant)
(813 Points)
Replied 02 July 2011
Yes they should register
Sushma Mevacha
(Executive)
(394 Points)
Replied 02 July 2011
If your client has crossed the threshold exepmtion limit which is Rs. 10 lacs as per the Notification 8/2008 dated 1.03.2008.
After the registration, your client should charge the Service Tax on the Total Bill amount (i.e. the actual expenses + his profit) to the clients. and they can take the credit of the Service Tax paid on their Expenses and the difference has tobe paid by them which is collected from the party.
CS,CA F,Numrologi TusharSampat
(CS CA F Numerologist Astrologer Graphologist Face reader Vastu Expert)
(85930 Points)
Replied 02 July 2011
| Originally posted by : Sushma Mevacha | ||
|
|
If your client has crossed the threshold exepmtion limit which is Rs. 10 lacs as per the Notification 8/2008 dated 1.03.2008. After the registration, your client should charge the Service Tax on the Total Bill amount (i.e. the actual expenses + his profit) to the clients. and they can take the credit of the Service Tax paid on their Expenses and the difference has tobe paid by them which is collected from the party. |
|
KIYOSH
(TAX CONSULTANT)
(332 Points)
Replied 02 July 2011
| Originally posted by : Sushma Mevacha | ||
|
|
If your client has crossed the threshold exepmtion limit which is Rs. 10 lacs as per the Notification 8/2008 dated 1.03.2008. After the registration, your client should charge the Service Tax on the Total Bill amount (i.e. the actual expenses + his profit) to the clients. and they can take the credit of the Service Tax paid on their Expenses and the difference has tobe paid by them which is collected from the party. |
|
Anjaly.P.A
( Article( CA Final))
(221 Points)
Replied 02 July 2011
Consequent upon increase in threshold limit of exemption from Rs.8 lakh to Rs.10
lakh, notification No.26/2005-Service Tax dated 07.06.05 and notification No.27/2005-
Service Tax dated 07.06.05 have been amended to raise the limit for obtaining service tax
registration from Rs.7 lakh to Rs.9 lakh.
Manjeet Mehra
(CA in Full time Practice)
(87 Points)
Replied 03 July 2011
Yes,there is a requirement for the registration.
CAclubindia
