There is a pvt ltd. company which is registered for service tax under manpower recruitment agency. The company is engaged in providing taxable services of manpower recruitment/supply and also housekeeping services to other companies. So, whether house keeping sevices provided shall be covered under manpower recruitment as the service provider engages its own people at the site for providing the said service.
The service category for the housekeeping service rendered by the company is to be checked on the basis of the service agreement entered by them with the customer. If the agreement states that the contract entered is for supply of manpower and no where it states that the purpose then there no need to change the service tax category, however if the agreement is for the purpose of providing house-keeping service then the service tax cannot be discharged under the category of manpower recruitment service.
The agreement provides that the company (service provider) will deploy its workers at the client company's site for cleaning and maintenance of plant area and the company raises bill which includes salary and other contributions per person deployed as per the agreement plus service charges of company. So whether this will come under manpower recruitment/supply ?
If it is mere supply of manpower wherein the services receiver controls and supervises the work of the manpower, then it is classifiable under man power supply. Whereas , if the mapower supplier undertakes it as a cleaning work, then classifibale under cleaning services.
In which service code co. should take service tax registration which involve in Telecommunication Training, Consulting, Project Management and Outsourcing.
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
CA Final
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