Service tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

26 September 2011 if a company received services from a individual, who is not liable to pay service tax, so he don't charge any service tax from the company in that case company is liable to pay service tax. And if company is liable to pay service tax on service taken than company can take the input credit for such service tax paid..?

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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26 September 2011 When a person rendering services to a company and he is not covered by Service tax then the service taker company is not liable to pay the ST. Hence, no credit can be availed

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CA Siddhartha Bhardwaj

CA Siddhartha Bhardwaj (Expert)
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27 September 2011 If the individual is providing service of Goods Transport Agency, then in such a case, the company is liable to pay service tax on the services recieved by it.

Accordingly, after depositing the service tax on such services,the company can take credit of the same.

DILIP SRIVASTAVA

DILIP SRIVASTAVA (Expert)
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27 September 2011 Co is not liable to pay service tax.
However in case GTA co is liabile on 25% portion to pay service tax as service reveiver.

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