Service Tax & Work Contract Tax Applicability

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sivaramalingam (Querist)
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28 November 2009 Dear Experts,

Kindly clarify that Appalicability of Service Tax & Works Contract tax for Knitted Garments Manufacturing as Job work (All inputs was provided only labour,Place & Machine was engaged)

Kindly advise.

Best regards,
Siva.R

Madhukar N Hiregange

Madhukar N Hiregange (Expert)
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29 November 2009 Dear Siva,

The production/ processing of goods is liable for ST if the process does not amount to manufacture . Making of garments is manufacture and therefore not liable for ST.

Warm Regards
Madhukar

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