Turnover limit for service tax registration

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 August 2012 Please any body tell me about turnover limit for service tax registration. our company is partnership firm & supply of motor vehicle parts of job work basis. Our customer provided raw material on 57F4 Challan or under rule 4(5)A of central excise rule. and our last year turnover is above 20 lakh so our company liable to getting service tax registration & also our company manufactured agricultural product base on vat invoice so please provide me s.t. rule & notification for reregistration

RENGARAJ R.K

RENGARAJ R.K (Expert)
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17 August 2012 The exemption limit is 10 lacs (invoice based) and RC to be applied once you reach 9 lacs turnover. Online registration is to be done.

Rule 4 of service tax rules, 1994 for registration.

CA PRAVEEN SINGH

CA PRAVEEN SINGH (Expert)
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17 August 2012 SERVICE TAX NEED TO BE REGISTERED WHEN TURNOVER EXCEED Rs 9 LACS OR MORE.& CHARGED SERVICE TAX IF TURNOVER CROSSES RS 10 LACS OR MORE.

Querist : Anonymous

Querist : Anonymous (Querist)

17 August 2012 but sir please tell me it is aplicable only for job works. { If M-Vat Sale turnover is 23 lakh & Job work turnover is above 10 lakh)

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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02 August 2025 Here’s a clear summary regarding **Service Tax registration turnover limits** as per your query:

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### Service Tax Registration Limit:

* **Threshold for registration:**
When your **taxable service turnover exceeds Rs. 9 lakh**, you **must apply for Service Tax registration**.

* **Threshold for payment of service tax:**
Once your taxable service turnover crosses **Rs. 10 lakh**, you are liable to **pay service tax** on your taxable services.

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### Applicability to Your Case:

* Your **partnership firm is doing job work for motor vehicle parts** with raw materials supplied by customers (under Rule 4(5)A / 57F4 Challan).

* **Job work services are taxable under service tax**, so your **job work turnover alone will be considered for service tax registration and payment**.

* Your **sales of agricultural products (VAT invoice)** are outside the scope of service tax and **do not count towards service tax turnover**.

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### So, specifically:

* **If your job work turnover exceeds Rs. 9 lakh, you must register for service tax** even if your total turnover including sales (like VAT sales) is higher.
* **Your VAT sales turnover of Rs. 23 lakh is irrelevant for service tax registration** purposes.

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### Relevant Rules & Notifications:

* **Service Tax Rules, 1994 - Rule 4** deals with registration procedure.
* Exemption notifications and thresholds are regularly updated; historically, **Section 68 of Finance Act 1994** and related notifications specify these limits.

For the most current updates, check the official CBIC website or consult a service tax professional.

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If you want, I can help find the latest applicable notifications or help with the registration process. Would you like that?

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