Service tax applicable on reinstatement expenses

surender (Manager Accounts) (149 Points)

30 April 2012  

Dear Experts,

I have following doubts Please help me out of these.

. A company manufacturing products under loan license. The company Charge conversion cost  as income,Company also pay for another running expenses like Salary & wages,  Housekeeping, Repair & Maintenance, Transportation,Waste disposable. etc. These expense are on re-imursement  basis.The company raise  two type of Invoices One for Reimbursement of Expenses second for conversion Cost in both invoices are charged with service Tax.

1. Can company charge Service tax on reimbursable Expenses Invoice  If company is tacking Service Tax input from the bills  .

2. Is there TDS applicable on Expenses invoice under section 194C.

3. Expenses are  reimbursable can we raise Expenses Invoice without service Tax. 

Please refer with notification or Related cases if there exist any.