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whether vat or Service tax will be liable

goelv9 (CA Practice ) (23 Points)

12 February 2009

Hi,

the company is actually selling a software which is licensed software developed by a UK based organisation and the coy is a JV coy of UK based coy. The selling coy is installing the software and training the users as well for the functioning of the software and is charging for the sell of software.

my Quest.- whether vat will be applicable, or service tax will be applicable, or both will be applicable that to on the base figure.

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2 Replies

siddharth (article) (46 Points)
Replied 12 February 2009

Originally posted by :goelv9
"	Hi, the company is actually selling a software which is licensed software developed by a UK based organisation and the coy is a JV coy of UK based coy. The selling coy is installing the software and training the users as well for the functioning of the software and is charging for the sell of software. my Quest.- whether vat will be applicable, or service tax will be applicable, or both will be applicable that to on the base figure.	"

For the Licenced Software which the company is selling, there is Sales Tax while for the purpose of personalised services like installation and training, its Service Tax(if provided servicec are above exempted limit).