Save Rs 499 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Not folllowing reverse charge

Save Share

Join Us Follow Us Add as Source

This query is : Resolved

Report Follow Query Ask a Query

Querist : Anonymous

Querist : Anonymous (Querist)

03 September 2011 I have query.... which i am describing u with the help of an example.

Company A(IN SEZ)
Company B (Goods Transport agency)

comapny A is using the services of a transport agency for importing the raw materials. As per provisions of Service tax, reverse charge is applicable & company A is liable to charge service tax on the bill. but Company is not doing it however company B is charging tax from Company A. will any penalty can be levied on company A for not following the reverse charge provision.??????

U S Sharma

U S Sharma (Expert)
Follow

10 September 2011 when B(GTA) has charged the service tax on their bills received from A(SEZ), then the charges of GTA are tax paid, and no need to pay again.

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

Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!