Service tax on job work

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shivani gupta (Querist)
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25 March 2014 if a manufacturer is paying excise duty on the goods manufactured by him under a job work and supply the goods to the contractor for whom he had made the goods,now the question is that if the contractor sell out this goods then is there any liability of service tax on the contractor?

Arun Kumar Singh

Arun Kumar Singh (Expert)
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25 March 2014 If principal manufacturer is registered with excise and paying duty then no need to pay service tax on jobwork any other work then duty will be applicable. You should consult with any professional. Service Tax can be applicable under reverse charge mechanism.

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