Tyre Retreading - Is it under purview of Service Tax?
This query is : Resolved
12 November 2009
Hi,
Does Tyre Retreading come under the purview of Service Tax? I do for individuals and companies (No Contracts or Agreements).
If yes, then I have another question too:
I bill my invoices in whole without specifying in detail about the raw materials cost, labour cost, etc. And let us assume that total turnover is 15 lacs p.a. Now when i calculate exemption limit should i take the total turnover which includes cost of raw materials + 4% VAT which i pay when i purchase it or should it be calculated on the total turnover after deducting cost of raw materials?
Sridhar
Does Tyre Retreading come under the purview of Service Tax? I do for individuals and companies (No Contracts or Agreements).
If yes, then I have another question too:
I bill my invoices in whole without specifying in detail about the raw materials cost, labour cost, etc. And let us assume that total turnover is 15 lacs p.a. Now when i calculate exemption limit should i take the total turnover which includes cost of raw materials + 4% VAT which i pay when i purchase it or should it be calculated on the total turnover after deducting cost of raw materials?
Sridhar
13 November 2009
tyre retreading is a case of works contracts
It is understood that the transaction is covered under WC ser tax involving Works contracts and in such cases you need to pay the service tax only on the value which is the balance of the total value minus the value on which you have already paid either sales tax/re-sale tax/VAT, as the case maybe, under the Works contract Act, which is in accordance with the Notification 12/2003!
It is understood that the transaction is covered under WC ser tax involving Works contracts and in such cases you need to pay the service tax only on the value which is the balance of the total value minus the value on which you have already paid either sales tax/re-sale tax/VAT, as the case maybe, under the Works contract Act, which is in accordance with the Notification 12/2003!
15 November 2009
Hi Dayal,
Thanks for reply to my query. But I have one more query relating to the earlier one itself.
1. Can I pay service tax using composition scheme @ 2% of the bill? If this is the case is there any option that i need not pay VAT (Tamil Nadu)?
2. Can i use the abatement option available under service tax (works contract) saying that 33% is service and pay tax for that 33% alone without showing any purchase bills?
Thanks for reply to my query. But I have one more query relating to the earlier one itself.
1. Can I pay service tax using composition scheme @ 2% of the bill? If this is the case is there any option that i need not pay VAT (Tamil Nadu)?
2. Can i use the abatement option available under service tax (works contract) saying that 33% is service and pay tax for that 33% alone without showing any purchase bills?
17 June 2012
In the current definition under valuation Rule 2A, the other works contract like repairs, maintenance, etc are covered and service tax is payable for 70% of such contract total value. This applies to tyre retreading service. Please check up the notification which comes into effect from 01.07.2012.
rengaraj r.k
rengaraj r.k
17 June 2012
In the current definition under valuation Rule 2A, the other works contract like repairs, maintenance, etc are covered and service tax is payable for 70% of such contract total value. This applies to tyre retreading service. Please check up the notification which comes into effect from 01.07.2012.
rengaraj r.k
rengaraj r.k
17 June 2012
In the current definition under valuation Rule 2A, the other works contract like repairs, maintenance, etc are covered and service tax is payable for 70% of such contract total value. This applies to tyre retreading service. Please check up the notification which comes into effect from 01.07.2012.
rengaraj r.k
rengaraj r.k
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
- STCG....................................................
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- Sales return eway bill
- TAN for Partnership
- LTCG for Assmt year 26-27
- E way bill for tractors
- Suggestions required for income tax filing-software (FY 2025-26)
- Loan by Partnership Firm
- Plot of land. Cost of Acquisition
- Is E Way Bill Valid If Transport ID Not Mentioned in PART A But Vehicle details mentioned in PART B
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- Nomination of Bank for refund in itr 2
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
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
