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Service tax on reimbursement of expenses

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Is service tax applicable on reimbursement of  expenses ( Relocation of baggage from Bangalore to Malaysia).

One of our employees relocated fron Bangalore to Malaysia ( our Inter company). Transport company given bill for charges of relocating employee personal baggage from Bangalore to Malaysia. We paid for them also. This expense will reimburse by Malaysia Intercompany. I have to send them debit Note for reimbursement. My question is i service tax is applicable for this expenses? Please advise.
 

Replies (2)

 

Service provide is entitle to charge  service plus expenses like Lodging , travelling and relocation of baggage .

My Doubt is once the ST turnover exceeds 10lakhs in one year from next year onwards he will charge service tax from rupee 1 ???


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