sir

Can A work contractor paying service tax by availing abatement @ 60% for material etc. take ITC. on all other input service like banking, telephone, insurance,or he is to restrict himself by taking ITC of services which he has used for providing that particular service in which he is registered.

Dear All

Can we avail input service tax credit on insurance premium paid on plant & machinery, colony residential buildings, vehicles insurance, transit insurance, factory buildings and non-factory buildings in a manufacturing unit

regards

As Per Notification of Service tax :-
In the following cases the reverse charge mechanism is applicable only if the service recipient is a company (Pvt ltd/ltd) and the service provider is a non-body corporate (eg individual/firm/LLP).

† Works Contract services

† Renting or hiring of motor vehicle to carry passenger

† Supply of manpower services

In the above cases the service liability will have to be shared both by service provider and service recipient in specified shares eg. on work contracts, 50% will have to borne by service recipient and 50% by service provider .

My Query :- We are in a Running Project for a Hospital , and done many works by contractors , I would like to know that Should We register in Service Tax ? because of we will provide Hospital Services &
Hospitals are not liable to Pay Service tax. Is Reverse Charge Mechanism Applicable on us ?

Sir/ Madam

Kindly update me service tax credit. How it works. Is it like excise cenvat taken. Please also update me from where i can read about service rule and terms.

We are the pvt. ltd. company engaged a Contractor with valuable work order for supply of materials of electrical and erection. Now the contractor raised a bill for Installation, where he charged the service tax amount @12% directly and also ed.cess & s&h ed. cess applied as per norms. The contractor is a partnership firm.

My question is that he (The Contractor) is do the same or he only charged 25% on Service Tax amount @12% ?

I request you to please clarify me my query with notification no.

LABOR CONTRACTOR FOR CONSTRUCTION OF RESIDENTIAL BUNGALOWS CAN BE CLASSIFIED UNDER MAN POWER RECRUITMENT AND SUPPLY AGENCY

A Case Study:-
Mr.Gupta in Punjab, is a manufacturer of Stainless Steel Ingots.
Mr. Jain has a Plant in Gujarat manufacturing SS Coil.His Raw material is SS Ingots.
Mr. Hari an Iron & Steel Dealer registered to deal in Excisable goods is also in Punjab.
Mr. Hari contacts Mr. Jain that he will procure SS ingots on his behalf,for which he will charge Re 1/- per KG.
Mr. Hari knows Mr. Gupta & places orders for supply of SS Ingots to Mr. Jain.
Mr.Gupta takes E1 Form from Mr.Jain & C form from Mr. Gupta.
Mr.Gupta issues an Excise Invoice showing Mr.Jain as Consignee & Mr. Hari as Buyer. Mr. Jain on receipt of Duplicate copy avails Cenvat involved on the qty received. On receipt of Original copy, Mr. Hari issues a commercial invoice in the name of Mr. Jain adding pre-determined profit of Re 1/- per KG. No entries are made in RG23D.
The freight is either paid by the consignor or the consignee.
Querry:-
Is this merely an E1 / consignment sale.
Where the profit of margins of Mr Hari is already pre-decided on the basis of the qty. sold. Should not Mr Hari be considered
a commission agent under Business Auxillary Service(services of procurement of goods on behalf of the client which is an input for
them)and Service Tax should not be paid by
him on the margins earned on such transactions. Merely the fact that only the invoices and the money is routed through him and no CST/freight/any other costs is borne by this middleman, Why his margins can not be subjected to levy of Service Tax.

The Trust registered under BPT act, 1950,having name Maharashtra Judicial Academy and education center and Indian meditation institute, but it is not government body.it uses the premises of government for providing professional education to government officer like Judge, police etc. It receive income for accommodation, food charges, registration fees from different bodies. for registration under service tax what should be select. eg for builder we select works contract, construction of residential or commercial whatever.

Dear sir

pls clear a confusion about abatement of material in case of InterirDesing service and what will be service tax on it

Hi,
One of my client got contract from one resort as follows.

He will receive a lump sum amount for providing service in relation to housekeeping of rooms and running of restaurant and providing food in rooms and club house and other area of resort.Here he will borne salary and daily grossary and other expenses.

Now,my query is regarding determination of value of service.
In which category it will fall
a.)As restaurant Service- Taxable Value 40%
b.)As Outdoor Catering Service- Taxable Value 60%
c.)Will housekeeping of rooms will make any difference in above two option.