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Whatsapp service

ishan (none) (94 Points)

26 February 2014

Whatsapp is charging me 145 rs for three years subscripttion.....is it liable to service tax?

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9 Replies

CA Raj Shah (CA) (347 Points)
Replied 26 February 2014

yaar remove karke fir se dowmload kar dete yaar...charge nahi lagta

ishan (none) (94 Points)
Replied 26 February 2014

Yeh i consider that a practical answer. but give me a theoritical answer which have sactions clauses and all........

CA Bhargav Nathwani (CA in Practice) (8307 Points)
Replied 27 February 2014

cell No is resiter with company you can't do this practice and Service tax is subject matter of service provider (Generally). You are service receiver. And Rs. 155/- is including service tax.

ishan (none) (94 Points)
Replied 04 March 2014

Bhargav i dont understand your answer pls..elaborate it......

Rashmi (CA Final Student) (137 Points)
Replied 04 March 2014

Subscripttion charge charged by Whatsapp is liable for service tax. However, the service tax is included in the amount charged, i.e. Rs. 145. You need not pay service tax over and above Rs. 145.

Post 01.07.2012, all services are liable for service tax except for those that are mentioned in

a) negative list

b) mega exemption notification

Since such service by Whatsapp is not present in either of the above two lists, hence, it is taxable. Hope this satisfies you.

ishan (none) (94 Points)
Replied 06 March 2014

No rashmi. Since it is foreign company.....and not registered it service tax no in india.....how could it charge service tax on my payment.... R you saying that the intermidietery firm which is google wallet in case of android is adding service tax...?

Rashmi (CA Final Student) (137 Points)
Replied 08 March 2014

As per the place of provision of service rules, the place of provision in case of telecommunication service is location of the service recipient (billing address of service recipient). Hence, even if it’s a foreign company, service tax shall be leviable since the service recipient is in the taxable territory.

Further, telecommunication service means "service of any descripttion (including electronic mail, voice mail, data services, audio text services, video text services, radio paging and cellular mobile telephone services) which is made available to users by means of any transmission or reception of signs, signals, writing, images and sounds or intelligence of any nature, by wire, radio, visual or other electro-magnetic means but shall not include broadcasting services” (Place of provision of service rules).

sagar (1) (43 Points)
Replied 24 February 2016

agree with rashmi

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