Rent a cab service taxi detail

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This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

01 August 2014 Dear Sir/ Madam

If my company takes taxi on rent and the taxi provider have the service tax registration number. and he is bill me like that supose:- Base value-100/- St @ 10/- than is charging total bill 104/- instead of Rs- 110/-. is this correct or not.

please also tell me the right bill amount and what will be my company service tax labil.

Ganeshbabu K

Ganeshbabu K (Expert)
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02 August 2014 If bill is in the name of company u have to discharge as per RCM,,40% of service tax to dept
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But if bill is in the name of employee and company re-imburses it no need to pay under RCM
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because in this case service provider have to charge service taax in his invoice because here service receiver is individual

Querist : Anonymous

Querist : Anonymous (Querist)

02 August 2014 I did not ask for regarding bill address. please read my question carefully than reply. I asked weather on rent a cab my company ST Laib. Rs- 4/- or 6/- or 10/-

and also tell me how government will get 100% of Service tax.

Ganeshbabu K

Ganeshbabu K (Expert)
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03 August 2014 There was an abatement of 60% Vide Notification 26/2012 on rent a cab service,Subject to the condition that cenvat credit of inputs,capital goods and input services used for providing output services has not been taken as per cenvat credit rules
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So

If Service provider opts abatement and RCM Applicable

Service provider -Nil Liability
Service receiver -40% of Service tax liability

If Service provider not opts for abatement and RCM Applicable
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Service provider-60% of Service tax

Service provider-40% Of Service tax
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