Dipjyoti Majumdar (CA in service & CS. dipmaj@ rediffmail.com ) (3468 Points)
16 June 2014Friends
Is reverse charge mechanism applicable when a company has appointed a candidate from an individual recruitment consultant.
Will it fall within the meaning of 'manpower supply'.
Regards,
Sheena Maheshwari
(ARTICLESHIP)
(240 Points)
Replied 17 June 2014
No. In this case the other company is only providing you recruitment consultancy service (a type of consultancy service). simply put the other company is a recruitment agency which suggests to you the candidates, you interview them and decide if you want to employee them.
Whereas a manpower supply would involve a contract with the other party to supply you with workers employeed by the other party. The manpower in this case is not your employee and the party supplying manpower is a contractor.
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