Service tax registration

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

30 June 2016 For Business Auxiliary Services of Commission Agent, registration is required to be taken if turnover crosses 9 lacs. If the service provider is not having any office premises and is using his house to receive communications but actually going to his clients' offices to provide the service, can he use the house address for registration of premises.

As house is being used by full family and each member (spouse, son or daughter) may have their own taxable service, does one have to club the services provided by each family member for reckoning the exemption limit?

Rupesh Jain

Rupesh Jain (Expert)
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30 June 2016 you can you house address for apply for the service tax number registration.

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Querist : Anonymous

Querist : Anonymous (Querist)

30 June 2016 Thanks. However what about small provider exemption. Is the value of taxable services provided by other members of the family ( not same services) also to be clubbed. Each member has his own bank account and files independent income tax returns.

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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25 July 2025 Good questions! Here's a clear explanation on both parts of your query about **Service Tax registration for home-based service providers and exemption limits for family members:**

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### 1. **Can a house address be used for Service Tax registration?**

* **Yes, absolutely.**
If you provide services from your home (no separate office premises), you can **use your residential address as the service provider’s place of business** while registering for Service Tax.
* Many small service providers work from home, and the tax authorities accept home addresses for registration.

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### 2. **Regarding Small Service Provider Exemption and Clubbing Turnover of Family Members**

* The **Small Service Provider (SSP) exemption threshold (e.g., ₹9 or 10 lakh turnover)** is based on the **aggregate turnover of taxable services provided by a single “person”** (legal entity or individual).

* **Family members are treated as separate persons** if they:

* File separate income tax returns
* Have separate bank accounts
* Operate independently and are not in a partnership or firm together

* Therefore, **the turnover of other family members (even if providing taxable services) need NOT be clubbed** for the purpose of calculating exemption limit.

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### 3. **Summary**

| Question | Answer |
| ---------------------------------------------- | ----------------------------------------------------------- |
| Can house address be used for registration? | Yes, home address can be used for Service Tax registration |
| Are turnovers of family members to be clubbed? | No, if they file separate returns and operate independently |

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### 4. **Additional Notes**

* If family members operate as a **firm or partnership**, then their turnover is clubbed as one entity.
* If family members work independently as individuals, each should monitor their own turnover for exemption.

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If you want, I can help draft a declaration or explanation letter for the authorities stating this. Would that be helpful?

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