Vat plus service tax

If you sell customized software, then Service tax and VAT both will be applicable, but if the software is sold through a media and is off the shelf software, then there is no need to charge service tax. Service tax, if applicable will be on the value of the software.

Thank You so much,

and I have one more doubt.When twe are deducting TDS ,shall we deduct TDS on gross amount including ST and VAT ?

TDS is to be deducted from the total amount payable, so naturally it will include both VAT and Service tax.

Thank You,

U have mentioned in your previous reply that service tax is chargeable on value of software.

is it chargeable on the value of software or value of software including VAT?

On the value of the customized software and not on VAT.

 

Dear Sir.

We run a printing press in mumbai. our main job is printing, binding, designing, etc.

Sometimes Design is provided by Party which we print on papers supplied by us.

( Paper, Ink, Plates, etc. provided by us) at the time of billing we mention - Printed Material (Item Descriptttion only)

Is service tax applicable on the same?

Also for job work - paper supplied by sub-agents we print as per there requirement....is service tax applicable above MVAT @ 5% ?

Our Turn Over is 25 Lakhs as per last financial year.

Is there any exemption on printing industry under service tax? if so under which rule?

your proper guidance will be highly appreciated.

You are liable to pay service tax w.e.f 01/07/2012 on the amount of bills raised after the above said date. No exemption is provided to you. Now in the process of providing service, if you also provide the material from your side, then as per Rule 2 of the Service tax (Determination of Value) Rules, 2006, you need to include the value of material provided in the execution of such work as a Works Contractor.