Dear All,
As per Entry no 29 of the mega-exemption notification 25/2012, it has been clarified that if the contract done by contractor is exempt then the service of the sub contractor is also exempt. But, there is a mention of Works Contract only in the said entry, ie, the service provided by the main contractor and the sub contractor should be Works Contract necessarily.
my question is if a person is providing sub contractor-ship services under " Erection, Commissioning and Installation services"- but there is no transfer of goods with the services as there is no good used in the contract.
Hence, the contract is not works contract.
But, the main contract with the main contractor and contractee is a works contract and is exempt under serial 12 of 25/2012.
Query:: Will the services of Sub contractor be exempt?? Please provide necessary references??
CAclubindia
