Service Tax Applicable or not

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Giridharan K

Student

67 Points Posted on 08 December 2008

Dear Sirs,

Software consultancy is attracted by Service Tax is clear by notification on 16th May 2008 vide notification no. 18/2008. I have a doubt,one of my client is a software consultant and he is not technically qualified and does only gets project in his name and does completed from other. He gets commission for this. Does this gets attracted by Service Tax? If so is it attracted under management consulting or consulting engineers services?

Another doubt is does Education Consultancy is attracted by Service Tax?

Replies (4)

Rishubh Mathur

Analyst -Taxation

161 Points Posted on 09 December 2008

My freind!

Yes, ur client will b covered under service-tax net as he must be charging for sw consultancy in his invoices.

Regarding your second query, please clarify the nature of service...

kumar vivek

92 Points Posted on 09 December 2008

service tax will be liable on ur client and will bw covered under consulting engineer if such services are general in nature..more specific services like developing of any software particularly for any industry will be under the purview of management consultancy

secondly, commercial coaching and training centres are liable to pay service tax...so prima facie it looks as if education consultancy is not covered until we look into the nature of services