Liability to pay servicetax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

28 November 2012 we,a firm, have engaged a security services.
The service provider has charged only 25% Service tax.
Who will pay the balance 75%
Are we liable to pay 75%[as service receiver]?
if so, can we claim input credit for 100%?
please explain.

CA Siddhartha Bhardwaj

CA Siddhartha Bhardwaj (Expert)
Follow

28 November 2012 1. Partial reverse charge is applicable on security services.

2. In this case, the liability to pay 75% of the service tax liability is on the service recipient.

3. The service recipient can claim CENVAT credit of the 100% of the service tax - 25% on the basis of the invoice and 75% on the basis of the challan.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Mohammad Abdu Fayaz

Sidhartha sankar pillai

Anoop KK

Srikanthan S

Santosh Behera

Subscribe Now

Liability to pay servicetax

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Manager- Finance and Compliance

CA Final

GST CONSULTANCY

Accountant

Senior Executive

GST CONSULTANT