Service tax liability for school canteen

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Krishna Murty (Querist)
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03 March 2010 One of my claint is running a school in the name of society.The society has given the canteen for lease to a contractor for supply of food.The socieity is providing premises, furniture and man power to the contrctor, free of cost. What is the service tax liability in case of contrctor for supply of food.Kindly clarify.

CA Gangadhar Mishra

CA Gangadhar Mishra (Expert)
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03 March 2010 for providing canten services to school service tax is not applicable.

Krishna Murty

Krishna Murty (Querist)
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04 March 2010 Sir, what is the service tax liability incase of contractor.The contractor is supplying food to the school canteen. The Contractor is submitting bill to the school along with service tax. Kindly clarify.

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