I am confused on how do i calculate service tax liability for the client as follows:
He is dealing in providing to people homestays and have got the same leased or on contract basis from other people (only one homestay has more than five rooms and others do not).
As per Kerala Luxuries Tax Act, luxury tax is applicable for homestays exceeding five rooms.
Also service tax is applicable to all the homestays. but the firm has neither got registered for service tax nor for luxury tax.
I want to calculate the service tax and luxury tax liability and also i want to know the rates for the same.
Can someone please help me?