Whether service tax registration required or not?

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Dasharath Appa Pujari (Querist)

07 March 2012 Dear All,

We are a fruit processing company and processing a fruit on bulk basis.We are mainly exporting our FGs but in some cases also doing domestic sales.

We are procuring fruit on bulk basis from wholesale traders and paying freight at our factory.Similarly we are arranging transport for dispatch of FGs to our local customers but the transport charges are born by the customer only.

We are also availing a CHA services for FG Export and paying for CHA charges including container inland transportation charges.

My Question is,

Whether a service tax registration is required for our company?

If yes, whether above activities are taxable or exempt under Service Tax Laws?

CA. Ranjit Yadav, FCA

CA. Ranjit Yadav, FCA (Expert)

08 March 2012 Although exporting of service is exempt from payment of service of tax. but for claim exemption you should get registered under service tax.

Dasharath Appa Pujari

Dasharath Appa Pujari (Querist)

10 March 2012 Dear Ranjit,

Thanks for reply.

But my question is different.

What is the registration criteria under Service Tax? Whether service tax registration required for our company?

And answer is yes , whether the following services that we are availing comes under service tax net.
1) Transport for fruit procurement
2) CHA services for Export sale of Fruit Products
3) Transport for Domestic sale

rajula gurva reddy

rajula gurva reddy (Expert)

11 March 2012 You need to obtain Service Tax registration for payment of Service Tax on procurement transport and domestic sale transport, if any. The CHA Services and Transport of goods for export up to port are exempted from payment of Service TAx.

NILESHKUMAR

NILESHKUMAR (Expert)

11 March 2012 yes subject to threshold limit of Rs 10 lacs p.a.

Dasharath Appa Pujari

Dasharath Appa Pujari (Querist)

12 March 2012 Dear Rajula & Nileshkumar,

Thanks for reply.

Pls tell me whether Service Tax Notification No.33/2004 dated 3.12.2004 is applicable in our case.? and while calculating threshold limit of Rs.10 Lacs pa , whether valve of exempted services are to be taken into account or not?

rajula gurva reddy

rajula gurva reddy (Expert)

12 March 2012 Notification No.33/2004-St exempts the taxable service provided by a goods transport agency to a customer, in relation to transport of fruits, vegetables, eggs or milk by road in a goods carriage, from the whole of service tax leviable thereon under section 66 of the said Act. Accordingly, you are entitled fro exemption for transportation of agricultural produce viz., fruits, vegetables etc.Exempted value of services need not taken in to account for arriving the Rs.10Lakhs exemption.

Dasharath Appa Pujari

Dasharath Appa Pujari (Querist)

13 March 2012 Thanks Rajula.

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