Service tax code

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Dhiraj Bagri (Querist)
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04 November 2011 Dear Experts,

I am in need of urgent clarification / view from your end regarding below given issue: -

"Developers charge club Membership fees / Legal Charges and other charges from the customer @ 10.3%. But under which code service tax on above mentioned service should be given? As bcoz developers are not providing of core services related to club membership, legal consultancy etc."

Need your view on the same and any reference on the above would be of great help for me.

Thanking you

PUNEET GOYAL

PUNEET GOYAL (Expert)
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04 November 2011 First of all check that whether as per RC under service tax act developer can also provide
1. Club or association services

2. Legal consultancy services.

Accounting Code for Club or Association Services:
a. Service Tax 00440322
b. Education Cess 00440298
c. SHEC 00440426
d.Interest & Penalty 00440323

Accounting Code for Legal Consultancy Services
a. ST 00440480
b. EC 00440298
c. SHEC 00440426
d. Int etc 00440483

Dhiraj Bagri

Dhiraj Bagri (Querist)
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05 November 2011 Dear sir,

In actual developer is not providing this service rather they have to collect Club Charges / Legal Charges along with flat costs which is incidental to main business.

For Club Charges which developers collect from the customer is given away to the association which is formed in future to take care of the residential complex.

As far as legal charges is concerned same is collected just to get the registry done for the customer but this is the core job of the developer rather same is incidental.

I also came to know that same should be charged under the head PLC.

But I am not sure about the same.

Hence need your view.

Thanking you