Service tax query

375 views 2 replies
We have appointed an housekeeping agency for manpower supply for our premises The Material will be provided by the organization and not the housekeeping agency. The have billed us as Labor charges / wages plus their management expenses and have calculated service tax on the total amount. Are they right on their practice
Replies (2)

Dear Mr. Sagar

The Manpower Agency is right at their end. The Invoice they raised is correct. But you have to pay only the basic amount. The Service Tax portion has to be paid by you only. Earlier The Reverse Tax Mechanism was there, means some portion of tax is to be paid by service provider and some by service receiver but now the total amount of tax is to be paid by you only.

Thanks a lot Sir


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register