22 July 2015
If the total commission of insurance agent is 3 Lacs and he provides consultancy service of Rs.5.5 Lacs to a firm, can is raise invoice without charging any service tax as total amount is below 10 Lacs.
Is it therefore beneficial for service receivers to use the services of small service providers to save on service tax?
22 July 2015
Yes small service provider exemption available up to 10 Lacs. Yes it is beneficial to service receiver to avail service from small service provider to save on service tax. No such saving in case of reverse charge applicable services.