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Service Tax on Franchise Fee

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Querist : Anonymous

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Querist : Anonymous (Querist)
11 February 2010 Is service tax applicable on Franchise Fee? If yes at what rate and who is liable for that i.e. Franchisor or Franchisee?

What is the minimum limit at which no service tax is applicable?
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SIDDHARTHA SANKAR ROY

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SIDDHARTHA SANKAR ROY (Expert)
17 February 2010 Franchisor is supposed to charge service taxon the franchise fee collected by him from the franchisee at the prevailing rate.

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