Reverse charge for charitable trust
This query is : Resolved
16 September 2014
Sir/Madam,
If a Charitable trust is receiving services from an individual advocate, then whether trust is liable to pay service tax under reverse charge mechanism..and is there any threshold limit of turnover of charitable trust.
If a Charitable trust is receiving services from an individual advocate, then whether trust is liable to pay service tax under reverse charge mechanism..and is there any threshold limit of turnover of charitable trust.
19 September 2014
If service is provided by an individual advocate or a firm of advocates by way of support services to any business entity located in the taxable territory, it is liable for service tax under the reverse-charge mechanism. The service recipient is liable to discharge the entire service tax. Therefore, the reverse-charge mechanism is applicable if the service is provided by an individual or firm of advocates and is by way of support services. The service recipient is any business entity located in the taxable territory.
Charitable trust is not a business entity. Here, reverse charge is not applicable and there is no service tax obligation. If the advocate is an individual or firm, no service tax obligations arises on his or its part.
Charitable trust is not a business entity. Here, reverse charge is not applicable and there is no service tax obligation. If the advocate is an individual or firm, no service tax obligations arises on his or its part.
Message likes :
2 times
13 October 2014
Sir, but "business entity" has not been defined in the whole act. If it is receiving some amount of fees for the services rendered by it, can we define it as business entity?
13 October 2014
Sir, but "business entity" has not been defined in the whole act. If it is receiving some amount of fees for the services rendered by it, can we define it as business entity?
14 October 2014
If some amount of fees received for services rendered can not be treated as business. Moreover you are a charitable trust not a business entity.
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
- Reopen of assessment proceeding
- Depreciation of fixed assets- coop housing society in mumbai
- TDS on Consultancy- Non DTAA
- FTS Taxable under 115A
- COMMERCIAL INVOICE FOR MATERIAL AND FREIGHT
- Tax Audit u/s 44AB for Transport Business A proprietorship is engaged in transportation business and
- Management System (IMS)
- Experts need help
- EPF FULL & FINAL RULES IN 2026
- Rental income gst and it purpose
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
