Manpower supply agencies

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Can the man power supply agencies( service provider) charge both service charges and service tax on the bill to a service receipient? If yes , will he be correct to charge service tax on basic amount+service charges*service tax at 12.36%. Please reply.

Replies (3)

Dear Geeta,

First ascertain the legal form of entity

If service provider is a body corporate, then he can charge service tax @ 12.36% on service charges in the invoice.

On the other hand, if service provide is other than body corporate, then service provider should charge service tax @ 3.09% on service charges.

Dear Sir,

Can the service provider charge service tax at 3.5% on DA/TA allowance given as remuneration to man power supply.?

Thanks for your clarifications sir...
 


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