28 January 2011
Please tell me whats the difference between business auxillary & business support services what kind of services would fall under them as per rules of classification.
Also If a person has applied for registration of service tax under aces to correct division but under wrong range i.e not as per his taxable service ,would his application be automatically directed to the correct range while physical submission of ST-1 OR something else needs to be appended with the form ?
28 January 2011
BAS is services provided in relation to marketing as well as services provided to procure goods, services, proocessing of goods and services provided on behalf of another. BSS is basically outsourcing what one would do oneself to concentrate on core competency. Please read a good commentary + articles on the same for more details.
28 January 2011
Following is the extract of TRU clarifcation
3.13 Business Support Service.—Business entities outsource a number of services for use in business or commerce. These services include transaction processing, routine administration or accountancy, customer relationship management and telemarketing. There are also business entities which provide infrastructural support such as providing instant offices along with secretarial assistance known as "Business Centre Service". It is proposed to tax all such outsourced services. If these services are provided on behalf of a person, they are already taxed under Business Auxiliary Service.
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