Amendment of service tax registration.

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Querist : Anonymous

Querist : Anonymous (Querist)

25 April 2012 Company A give contract to company B.Now,company A have received service tax@4.12% from the Parent company as it has amendent under work contaractors services. But company B registered under erection & installation which have sertice tax @10.3% in AY 2011-2012.work order of the company also not mention about the tax rate.can company B also registered service tax under work contractors & services which have taxability of 4.12% in Ay 2011-2012.If registered it is necessary to get a document proof?pls clarify this situation.what is the consiquence if we registed without any written proof?

CA Nikhil Jhanwar

CA Nikhil Jhanwar (Expert)

26 April 2012 No there is no written proof for the same is required. Classifying the service under any particular category depends on the nature of service provided by the service provider. Yo cannot classify the same under the any other service because another company has classified it. Even then If the nature of service invovles both supply of plant & machinery(erection & commissioning) and labour then it can be classified under works contract service.

For information rate of WCT has benn changed form 4% to 4.8%

Querist : Anonymous

Querist : Anonymous (Querist)

30 April 2012 Dear sir,

I have a query on if company B is not performing the supply work,it deal with only Erection & Installtion work.Company A is get 4.12% Service Tax.So,it is necessary that comapny B also amendment under work contract services to avail 4.12% from company A without any document proof?

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