Remuneration to partners in a partnership firm is liable to service tax?
Remuneration to diectors has been made liable to service tax under reverse charge mechanism. Issue regarding remuneration to partners debatable but in my view firstly it is share of profit - alternate agreement is that there is employer employee relation by a deeming fiction LLP is surely body corporate but remuneration to partners of LLP is not covered under reverse charge. Even in case of companies, only sitting fees and commission to non-executive directors is under reverse charge - if director is employee, then no question of service tax at all –
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