Query

1. You can refund Service tax amount to the customer. The ST paid by you can be adjusted by you against the liability for the next month provided the amount of ST refund do not exceed Rs. 1,00,000

2.How can there be separate registration for two services unless there are two different premises?

Facts of the caes

One of our client is engaged in providing services such as ;

1). Renovation / Alteration / Installation of furniture and fixtures mostly in banks.

2). Some Contracts are inclusive of material and  labour.

3). Some contracts are for  supply of labour only.

Query

1). Whether assessee should opt for composit scheme or not?

2). If, so what will be the rate of tax?

3). Which scheme will be benefitial to the assessee out of normal tax scheme or Composit Scheme?

Please clarify the matter.

Service tax authorities are of the opinion that an assessee has to opt for composite scheme for all contract and not for a single contract. However this is a disputed matter.

Assesse may opt for composite scheme or general scheme depending upon the VAT liability and ST liability. Even it is possible to opt for composite scheme for ST and general scheme for VAT.

Views of the authorities, including circulars/trade notices are not binding on the assessee or adjudicating authorities.