Taxability

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

28 August 2014 If work contract service contractor raised labour charges bill What is the taxability ratio between service provider & service reciever and % of abatement

Annu Agarwal

Annu Agarwal (Expert)
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28 August 2014 .Labour charges bill raised in taxable aas Service by way of supply of manpower for any purpose.
Now if service provider i.e the contractor is a Individual,HUF,Partnership firm whether registered or not or AOP

AND

service receiver is a business entity registered as body corporate then service tax shall be paid 50% by service receiver and 50% by service provider.

There is no abatement for the same.