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Service tax liabilities for hire bus service

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This query is : Resolved

raj raman sharma (Querist)
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03 September 2013 we hire a bus from a pvt. transport. He did not charge service tax. Please tell me our liabilities of service tax.

CA Vijeta Verma

CA Vijeta Verma (Expert)
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03 September 2013 In your case reverse charge is applicable.Hence you would be liable to pay service tax.Since your service provider is not charging service tax,this clearly indicates there is no abatement applies in your case.
You have to pay service tax in the following manner-

service provider-Individual, HUF, Proprietary firm, Partnership firm & service receiver-Business entity registered as Body Corporate 60%(service provider) & 40%(service reciever)

Individual, HUF, Proprietary firm, Partnership firm to Person other than business entity registered as body corporate- then 100% liability on service provider

Company, Body Corporate, society, trust, AOP, BOI to Any person then 100%liabilty on service provider

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