Tax liability on import of service
This query is : Resolved
09 March 2017
Hi,
Please, Help me to know that how to tax on import of service for example ., Mr. B is a service provider having office in India (i.e., within taxable territory) provide service to Mr. A who also reside in India. Mr. B also utilize the service of Mr. C who reside abroad (i.e., out of the taxable territory ) to accomplish the service which was agreed between Mr B and Mr. A.
So what is tax liability in the hands of all party i.e., in case of:
a). Mr. A
b). Mr. B
c). Mr. C
Assuming
- service provided is taxable service
- non of the party fall under SSI category
- Period is FY 2015-16
- Mr. B is not an agent of Mr. C, he act as independent professional practitioner
Thank you in advance
:)
Please, Help me to know that how to tax on import of service for example ., Mr. B is a service provider having office in India (i.e., within taxable territory) provide service to Mr. A who also reside in India. Mr. B also utilize the service of Mr. C who reside abroad (i.e., out of the taxable territory ) to accomplish the service which was agreed between Mr B and Mr. A.
So what is tax liability in the hands of all party i.e., in case of:
a). Mr. A
b). Mr. B
c). Mr. C
Assuming
- service provided is taxable service
- non of the party fall under SSI category
- Period is FY 2015-16
- Mr. B is not an agent of Mr. C, he act as independent professional practitioner
Thank you in advance
:)
10 March 2017
There is no liability in the hands of Mr. A and Mr. C. Mr. B has to bear service tax liability in following manner: -
- Service provided to Mr.A -> Normally
- Services received from Mr. C -> Mr. B has to pay service tax under reverse charge on amount of service taken from C as import of service is covered under reverse charge i.e. service receiver has to bear the tax liability
- Service provided to Mr.A -> Normally
- Services received from Mr. C -> Mr. B has to pay service tax under reverse charge on amount of service taken from C as import of service is covered under reverse charge i.e. service receiver has to bear the tax liability
Message likes :
1 times
10 March 2017
Thank you for your response....
please tell me any notification or section where I can know more about it ...
please tell me any notification or section where I can know more about it ...
10 March 2017
Notification of reverse charge - Notification No. 30/2012-Service Tax dated 20th June 2012
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- Unregistered suppliers utility
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- Difference between Date of Payment and Date of Deduction?
- TDS AND ITR ISSUE
- URGENT-Eligible leaves being shown as 24 days for 3 years Articleship instead of 156 days in 108
- ADDITION OF CHALLAN IN TDS RETURN FORM 140
- TODAY INCOME TAX SITE IS NOT WORKING ANY OFFICIAL EXTENSION
- GST Rate for Catering Services
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
