Service tax liability of a sub-broker

Dear boarders, A friend of mine want to become a sub-broker in equity markets.

(1). Will he has to constitute a proprietorship firm for that???

(2). If yes, what will be his service tax liability?

 

An urgent reply will be appreciated.

Thanks in advance

 

Replies (2)

he can function as any type of entity. type of entity will not affect service tax liability

As per Notification No. 31/2009 dated 01.09.2009 any taxable service provided by sub-broker to stock broker will not liable to service tax. Further issue was also clarified by Circular No. 334/13/2009 dated 06.07.2009

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