Let, there are 2 firms-A & B. B is collecting some Professional fees from a third party. While the service is provided to that (3rd) party jointly by A & B. Since the 3rd party is paying the bill amount to B only, A is raising bill on B against its own portion of fees. It was previously agreed that 60% of total professional fees collected from the 3rd party will be payable to A inclusive of reimbursement of expenses if any. For the time being A has made some Expenses on behalf of B (such as boarding, lodging,etc.)and the reimbursement of the same is included in that 60% amount.
My questions are-
i) is the agreement forming any "pure Agent"-principal relationship, if yes-How?
ii)If no, should A collect Service tax on the gross amount(i.e.60%)or amount after deducting the actual reimbursement? Please refer applicable Sec./Rule/Notification/Cases if any.

Can we file the ST-3 (Half yearly service tax return) on line like the Etds return? If yes what are the procedure for the same.

Please reply ASAP because it’s urgent.

Thanks in advance.

I am providing both Taxable as well non taxable services. Till now I was not maintaining separate books of accounts due to which I was able to avail cenvat credit of service tax paid of only 20% of what was available to me. Is there any change in this budget relating to the availment of credit of service tax paid?

Hi Friends,
My client is a civil contractor and providing services of commercial contracts. As per the rules, he can claim abatement of 67% of the value of contract. My query is, whether he can claim CENVAT credit of input services e.g. telephone and audit fees if he claims abatement also.

As per rule 6(7B) of service tax rules 1994 amended by notification no. 19/2008 st dated 10.05.2008 service tax on forex will be charged @ 0.25% on amount of dollars exchanged(suppose) but the banks and other dealers are charging a transaction fees on which they are charging service tax @ 12.36% what is the correct procedure?

I have found that my client's advertising Agency does'nt charge service tax for advertisement given on News papers.instead of that,Ad agency share the service tax charged to them by news paper agency with our client(charges to our client)this is done becoz they also share discount given by News paper agency.
accordingly our client calculates TDS exclusive of this Service tax.
is this practice legitimate?
if not what wrong in this practice?

WE ARE MANUFACTURAR EXPORTER AND HAVE THE LARGE AMT OF SERVICE TAX CREDIT IN OUR BOOKS

CAN WE TAKE THE REFUND OF SERVICE TAX
UNDER NOTIFICATIN 41/2007 ST. 06.10.07

CAN WE TAKE THE REFUND OF ALL THE SERVICE TAX WHICH WE HAVE PAID EXCEPT FREIGHT OUTWARD

OR

WE CAN TAKE THE CREDIT ONLY ON THE SPECIFIC SERVICES

PLS ADVICE

Sir,
Pls correct me if I am wrong,
1.Service tax is excempted upto 10 lakhs of taxable services but can't avail CENVAT credit.
2.Any time during the year if taxble services exceeds ten lakhs, service tax is applicable on the balance exceeding 10 lakhs.

Thanks & Regards,
Girish

Transporter have not charged Service tax in Bill for exemption and issued consignment note then our liability to pay service tax on this. Can we take Cenvat on Service tax paid for carriage Inwards in same month when we deposit to Bank?

If transporter has not issued consignment note and they have no service tax reg. no.then also will we have to pay service tax for this?

We are into a hotel industry. We have to pay charges for advertisement on foreign website. Now since the website is run in country other than India, Will it be termed as Services Used in India based on the fact that payment is to be made by establishment in India ??

If it will be covered under Import of Services under which provision it will be taxable ??

Also, the advertisement period is before 24th Feb 09, which rate of tax will be appliable in this case ??