Rent a cabs scheme operator service

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SIVARAKRISHNAN (Querist)
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24 November 2010 Dear Sir,

Mr.A taken taxi on hire from Mr.B, and he is contract with Mr.C, he has got Rs.12 lakh p.a from Mr.C and given 8 lakhs to Mr.B. in this citiuation Mr.A is liable to pay the service Tax.
because of originaly Mr.A's income is Rs. 4 lakh p.a only but he receives Rs.12 lakhs p.a.(actual receipt exceed Rs.10 laksh p.a) pls clarify me & give if having any case laws?

Madhukar N Hiregange

Madhukar N Hiregange (Expert)
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27 November 2010 Pure hire is only liable for VAT . If provided along with the driver the possibility of coverage under supply of tnagible goods or tour opretaro is to be examined.Tribunal decisions in this reagrd to be examined.

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