29 November 2011
Sale and Purchase of Software is taxable good under VAT Act.
Only Sale and Purchase of Software ( Trading) does not attract service tax, since you are not rendering any taxable service as defined in Service Tax Act.
02 December 2011
Till now the packaged software was subjected to double taxation wherein both VAT and Service tax was being levied at the time of its sale. But now the CBEC through the Notification No 53/2010 ST dated 21.12.2010 has exempted service tax on retail sale of packaged computer software classifying the packaged software as goods and not service subject to certain conditions.
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