category & Servie type

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Querist : Anonymous

Querist : Anonymous (Querist)

26 October 2010 I am a vodafone distributor who gives simcards,recharge & erecharge to retailers. vodafone company is giving recharge coupoun & erechage invoice including service tax...
now my que. is simple
1, who I am service provider or receiver
2, under which business category I have to register under service tax act.
3, how to pay after calculating service tax and file service tax return half yearly.

give me you valuable advice.

thanks in advance

GSTP Hari Dhayalan Konar

GSTP Hari Dhayalan Konar (Expert)

26 October 2010 i think this the fourth time im seeing the same query.

See
1.Vodafone is service provider and retailer is service receiver. but you are not liable to pay and collect service tax. you are just agent that's all.
2.if you want to register, then you can register with service tax with the business head of 'Business Auxilliary Services'.
3.you can calculate service tax based on quantity. for example:

receiving 100 recharges cards value is 100xRs.10=Rs.1000+ser.tax10.3%=1103. when you distributing to retailers you may charge the 100 cards value as 100xRs.13=Rs.1300+Service Tax10.3%=Rs.1434. So your tax liability is Rs.134-103=Rs.31. hope you understand. Other wise better to meet a consult locally.

Querist : Anonymous

Querist : Anonymous (Querist)

26 October 2010 thanxs for your reply sir,
I would like to know vodafone company is service provider ok. then the company is appointed us as distributor and we are giving those above vodafone items to retailers who are service receiver as per your advice.
company is charging 10.77% service tax to us. Company is giving us 4% on recharges and that we are giving to retailers @2.5%
I am only receiving 1.5% ?

Pls communicate with me sir, I want to clear my all doubts.

now what to do ?

thanks for helping.