Service tax-wct

While auditing a company we found a contract for supply of meals for labours. Can someone suggest me whether it would be covered under WCT & attract service tax by RCM...??? 

Replies (1)

Hey,no supply of meals would not come under the purview of works contract. Works contract for the purpose of reverse charge should result in the creation of an movable or immovable property. The materials supplied under a works contract would be chargeable to VAT while the service provided under such contract should be chargeable to service tax.

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