Regarding service tax on manpower supply
This query is : Open
24 November 2016
Dear All respected;
A service tax bill generate from D kumar (manpower supplier) to s pvt ltd, and he charges bill as follows,
Total man 100x30 = 3000
service charge = 500
Service tax on 3500/-@14% = 490
Total Bill amount = 3990
Please suggest me on which amount service tax should be charged. what a liable to pay s pvt ltd paid final bill e.i 3990 or service tax charged should be on service charges on Rs 500.
A service tax bill generate from D kumar (manpower supplier) to s pvt ltd, and he charges bill as follows,
Total man 100x30 = 3000
service charge = 500
Service tax on 3500/-@14% = 490
Total Bill amount = 3990
Please suggest me on which amount service tax should be charged. what a liable to pay s pvt ltd paid final bill e.i 3990 or service tax charged should be on service charges on Rs 500.
24 November 2016
Supply of man power is chargeable under reverse charge mechanism (RCM) where the company receiving the service will pay service tax on RCM @ 14% +0.5%+0.5%. Since the provider of service is an individual he need not charge Service Tax on the invoice raised for supply of man power.
24 November 2016
Service tax shall be on the gross amount and not be not merely on the service charge shown on the bill
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GSTR-1A How to update Invoice
- Excess salary payment.
- Stamp Paper for partnership firm change new income tax 2025
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- TDS on Purchase of Immovable Property by NRI from NRI
- Capital gain from sale of house property
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Value of property in capital gain
- When TDS on GST applied
- Before GSTAT- APL-02 Vs APL-04
- TDS APPLICABILITY......
- Copyright software
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
