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Supply of labour - work contracts or man power service??

Gaurav (Learner) (45 Points)

09 January 2013

Under what category of Service will the supply of labours (only, and not any materials) , for construction,

or any other process shall fall before 01.07.2012?

The most appropriate seeming ones shall be Man power supply & Work contracs, but

work contracts relates to supply of material and man power supply realtes to service when the supplied labour

or manpower works in the supervision of the contractee.

What if the labour supply works in the supervision of the service provider, but no material is supplied, then what shall be the category of the service?

Pls explain.

References to sections shall be appreciated.

Best of regards.

Gaurav Agarwal

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2 Replies

Sambhav (B.com(D.U)CA-Ipcc-final) (65 Points)
Replied 10 January 2013

quoting the service tax reckoner:(v.s.datey)

labour works under the control of contractor and principal employer has no control ove the labourers.
this isnt supply of manpower thus not taxable.

yes ..had i been the case where the labours are being supplied (literal meaning)
acyually.then service tax was applicable.( where the privity of contract is between principal emp. and laboureres.thank you

Gaurav (Learner) (45 Points)
Replied 10 January 2013

Thnx Sambhav..but that is what I am asking.

If the service is taxable, and if not under Man power supply or works contract due to the above mentioned reasons, then under which category it should fall, before 01.07.2012 ?