Service receipient

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Querist : Anonymous

Querist : Anonymous (Querist)

01 October 2014 Dear Sir,
In case of a service recipient, when his liabilty to obtain service tax arises?

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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01 October 2014 there is no monetary limit and needs to pay within 1 month.

Querist : Anonymous

Querist : Anonymous (Querist)

02 October 2014 Suppose an Individual proprietor who manufactures machinery parts and annual turnover would be around 1.5 crore. For the manufacturing purpose he hires labour on contract basis. Whether he is liable to obtain service tax registration?

MOHAMMAD SALIM

MOHAMMAD SALIM (Expert)
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02 October 2014 There is no threshold limit of taxaxble service turnover of rs 10 lakhs in respect of service tax required to be paid under RCM. This limit applies only where the person liable to pay service tax is the service provider...

Payment of service tax is linked to the POT which in case of services under RCM is governed by Rule7 of POT Rules, 2011.

Querist : Anonymous

Querist : Anonymous (Querist)

02 October 2014 In the case given above whether the liabilty of manufacturer arises under RCM or not?

MOHAMMAD SALIM

MOHAMMAD SALIM (Expert)
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02 October 2014 In instant case if manpower supply has been received i.e. wherein such manpower works under control and supervision of the service recipient and such service is provided by Individual, HUF, firm, AOP to a business entity registered as body corporate RCM would be applicable....

Querist : Anonymous

Querist : Anonymous (Querist)

04 October 2014 Whether an individual proprietorship firm also come in the definition of body corporate or not?

MOHAMMAD SALIM

MOHAMMAD SALIM (Expert)
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04 October 2014 individual and proprietorship firm are NOT body corporates....

Querist : Anonymous

Querist : Anonymous (Querist)

04 October 2014 That means in above case, assessee is not liable to pay service tax under RCM?

MOHAMMAD SALIM

MOHAMMAD SALIM (Expert)
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04 October 2014 there is specific answer to it as It depends on which service is being taken. As different criterion is prescribed for various services. Pl refer to Rule 2(1)(d) of ST Rules and Notif No 30/2012-St dated 20-6-2012...

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