Dear Experts,
I have a doubt in relation to Service Tax on Professionals providing technical service to Only One company under a contract of two years.
There is a relationship between this professional and the employer. The professional is providing his technical assistance on the subjects given to him from his employer on daily bases and is answerable for the same. Now the questions:-
1) Now just because the professional is on a contract of Two years does the employee pay him as a "Professional Fee" and not as "salary" ? Is this legally correct?
2) The employer is paying this professional a fee after deducting 10% TDS only, does this subject the professional to a Service Tax on the Professional Fee received?
3) Can this two years contract with this company be treated as "Contract of Service" for the Professional and hence no S.T ?
Thanks in advance!
CAclubindia
