G MAHESH (FINANACE MANAGER) (32 Points)
30 November 2013
Sir,
we are being private limited company providing renting service of Heavy Vehcials like Trailars to another company on monthly basis per trailar rent 150000/- with including driver, diesel and mainatainance exp.
i would like know that what is the rate service tax to be pay and is VAT applicable/not
Mahesh
Neljo Davis ACA
(Consultant)
(630 Points)
Replied 12 December 2013
VAT is applicable only for transfer of right to use any goods. The transfer of right to use should include possession and control over the goods. Since the heavy vehicle is provided along with driver VAT will not be applicable.
CAclubindia
