Service Tax on Job Work to SSI

[Lakshmi AnandK]

Hi,

I am aware that service tax is not payable on job work done to a principal manufacturer whose product is libable to excise duty.

Is service tax applicable on job work (not amounting to manufacture) done to a firm availing SSI exemption for turnover below 1.5 cr but paying duty for the reset of the turnover?

Thank you,

KLA

AI Summary

Service Tax Exemption Possible for Job Work Not Amounting to Manufacture Under SSI Exemption if Excise Duty Applies A user inquired whether service tax applies to job work not amounting to manufacture for a firm using the Small Scale Industry (SSI) exemption for turnover below 1.5 crore while paying duty on the remaining turnover. The response clarified that if the job-worked goods are subject to excise duty, then service tax could be exempted.