We are registered with Service Tax for Erection and Commissioning activites. In some cases we need to supply man power also in the same project where we are doing erection & commissioning work. When we raise bill for manpower and charge service tax, our client refuses to pay service tax due to our non registration for manpower supply. is our client correct by refusing service tax. can we raise manpower supply bill with out charging service tax?
at the tym of Sv Tax registration we have to mentioned the Services which is Provided us. if Labour Supply has not been included in Registraion you may Easily add the service with the same registration number. and Charge Service tax on Labour Supply Also if you will not Charge service tax then Department Charge SV Tax from You.
if your client doesnt agre to pay the service tax on labour then you can do onething...add the labour charges in the erection & commissioning charges and charge service tax on the same...no need to show labour charges separately...
in my opinion,
supply of manpower is a taxable service so service tax is leviable (subject to conditons)
you are just the collecting agent of government, if you do not charge service tax or couldnot collect service tax , government will recover from you(assuming net receipt inclusive of service tax).
so its it better to register manpower service and charge service charge regarding this.
andi think the contention of your client is correct.
there is no assurance that you are depositing service tax to the credit government . client couldnot Avail credit of service tax what he has paid.
in my opinion,
supply of manpower is a taxable service so service tax is leviable (subject to conditons)
you are just the collecting agent of government, if you do not charge service tax or couldnot collect service tax , government will recover from you(assuming net receipt inclusive of service tax).
so its it better to register manpower service and charge service charge regarding this.
andi think the contention of your client is correct.
there is no assurance that you are depositing service tax to the credit government . client couldnot Avail credit of service tax what he has paid.
Hey Friends, I came across the following blog especially on Service Tax updates.
https://servicetaxupdates.blogspot.in/
You can follow this blog. so that we will be aware of the recent updates in Service Tax.
Hey Friends, I came across the following blog especially on Service Tax updates. I found out it very useful.
You can follow this blog. so that we will be aware of the recent updates in Service Tax.
Hey Friends, I came across the following blog especially on Service Tax updates. I found out it very useful.
You can follow this blog. so that we will be aware of the recent updates in Service Tax.
Just register your STC with Manpower supply service and then charge the same from your client.
Also, you can add the amount to the bill and charge full amount from them.
Just register your STC with Manpower supply service and then charge the same from your client.
Also, you can add the amount to the bill and charge full amount from them.
For every new services, dept must be informed and ST-2 needs to be amended
In your case please get your regn. certi. amended and add the services you are providing.
The contention of the client is correct. you need to ammend the ST-2 by submitting form ST-1(by adding manpower service).
There will be no change in service tax registration number. After receipt of ammended ST-2 you can charge service tax on bill the same can be collected from client.
Till then you need to pay service tax from your pocket (as amount inclusive of service tax).
Also check whether your service may come under works contact service.
Regards,
Renuka
You should get your service tax registration amended. However wef 1 July your service receiver is required to pay service tax on both of your service deducting it from your invoice
In the regime please ensure following things
CAclubindia
