Services provided by a director.

Service of Renting of immovable Property won't be considered as "service by directors".

So it will not come under reverse charge, if rent is crossing 10 lacs per year then only service tax need to be paid by director, not company.

If a Pvt Ltd co. pays remuneration to its directors then does that attract reverse charge?. Can you please tell me how to differentiate executive directors from non executive directors and what sort of payments made to them attract reverse charge?

We can make the difference between executive and non executive as:-

1.Check in MCA

2. There shareholding & Decision Influence in management

3. Whethere taking salary or not etc.

Ok, So if the directors of a pvt ltd co. are receiving remuneration then is reverse charge applicable?

Mr. Ayush

Can you please quote and name the statutory source/circular/act/rule/notification from which you concluded that the service of renting of immovable property by a director of a co. to the said co. wont attract reverse charge?

Dear One,

Pls Go through that Notification, No Where mentioned that renting service by director also liable for reverse charge....

That is Not remuneration.

Dear Vargab, Mr. Ayush is right because RCM is applicable when director provides any service in he capacity of director. In your case he is in the capacity of landlord not in the capacity of director so RCM is not applicable in this case.