Dear Experts,
As per service tax notification under reverse charge in respect of services provided or agreed to be provided in service portion in execution of works contract. The liability is define 50% for both service provide as well as receiver.
I am little bit confuse in the end of notification in Explanation-II regarding work contract tax given below:-
Explanation-II. - In works contract services, where both service provider and service recipient is the persons liable to pay tax, the service recipient has the option of choosing the valuation method as per choice, independent of valuation method adopted by the provider of service.
The above explanation create dispute at the time of service tax audit if a service provide or receiver assess the value in lower side. Please clerify.
Thanks
CAclubindia
