sir,
i was distributor of a telecom company MTS between 2014 to 2017. company bill me ETop(recharge value) and charge all taxes including SBC and ST according to the value of Customer rate(MRP), means taxes apply as per final value for customer and after that they deduct my commission. Tax already paid on company level, no extra sales tax outcome for distributors or retailers like difference of tax credit and tax collected.
now service tax department asking to deposit SBC @ 0.5% on all billing, i know SBC was not under CENVAT system, i know i can not get credit of tax in the case of Swachh bharat cess but this case is different, when company take tax till customer value, than why we pay taxes on same value(customer value) and retailer also pay for same, because i can not collect tax in this type of billing, tax collected by company in advance till customer level. please help me out.
CAclubindia
