15 July 2014
Reverse charge will apply only if the service recipient is a business entity registered as a body corporate. In case of the services of security agencies are provided to other than business entities or to business entities who are not registered as body corporates, the entire service tax has to be paid by the security agency and no reverse charge will apply.
15 July 2014
under reverse charge - 75 % of the service tax liability (9%) shall be paid by the service recipient and 25 % of the service tax liability (3%) shall be paid by the security agencies.
15 July 2014
If service recipient is not a 'body corporate', 'reverse charge' will not apply meaning thereby the service provider has to pay ST @ 12.36%. Inference is from notification 46/2012 ST dated 7.8.2012.
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