Reverse mechanish charge on service tax how to raise the inv

Queries 273 views 3 replies

GURUDATH HEGDE

BUSINESS ASSOCIATE

30 Points Joined June 2013

I have a proprietory concern running a Manpower recruitment and consultancy services in bangalore.

My query:

1. With the new ammendment in the reverse mechanism rule, the onus of payment 100% lies on the service receiver. Is thee a notification in this regard.

2. If the onus of ST is on the service receiver- Can anyone suggest how to do the billing ( format please)

3. With the ammendment is proprietoriship concern need to be continued to be registered under service tax while continuing to give service to corporate entity.

4. How to file thereturns , when st is paid by the receiver.

Would appreciate your valuable inputs in this regard.

Thanks in advance

Gurudath Hegde.

Replies (3)

CA Sujeet Kumar

Self-Practice

738 Points Joined January 2011

Take consultancy of CA he will explain you all

Vishal Goel

Chartered Accountant

1693 Points Joined April 2014

Query 1 answer : In this regard department had issued Notification No. 7/2015-ST dated 01-03-2015

As Notification No. 30/2012-ST dated 20-06-2012 has been amended vide Notification No. 7/2015-ST dated 01-03-2015, there by shifting the Supply of Manpower and Security services from Partial Reverse Charge to Full Reverse Charge. The stated change has been effective from 01-04-2015.

Reverse Mechanism and Partial Reverse Mechanism in Service Tax was First Introduced Vide Principal Notification No. 30/2012-Service Tax Dated- 20th June, 2012 and subsequently been amended vide Corrigendum Notification [F. No.334/1/2012 -TRU], dated 29-6-2012, Notification No. 45/2012-Service Tax, dated 7th August, 2012 , Notification No. 10/2014-Service Tax Dated- 11th July, 2014 and Notification No.7/2015-Service Tax, Dated- 1st March, 2015.