New company problem

Hi all,

This is my first post on this forum & hopefully not the last.


I have just registered a firm for providing electrical service's to various clients.

As of now i have got a potential customer who is asking me for Service tax number,

As this is my first business , i came to know about Service tax threshold that i am eligible about and mentioned the same to the client. But the client is still requesting a Service Tax number for Vendor registration in his organization.


Please help me on what i should do....

Replies (1)

In terms of Section 69 of the Finance Act,1994 (Chapter V) read with rule 4 of the 

Service Tax Rules,1994 - 

• Every person who has provided a taxable service of value exceeding Rs. 

9 lakhs,  in the preceding financial year, is required to register with the 

Central Excise or Service Tax office having jurisdiction over the premises 

or office of such service provider.

 

Tell him, that as you have just started business, your turnover is less than Rs 9 lakhs. Also, tell him to read Section 69 and rule 4.

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