Travelling Exp-Covered in S.Tax

[kamal chordia]

If any company take  Taxi on hire for his employee to visit from head office to factory for official visit, then in that case the payment of taxi hire made by company being part of travelling exp.

Is service tax applicable under reverse charge  Notification No. 30/2012 on this transction.

 

Thanks

 

Kamal

[Guest]

Yes, this transaction covered  under reverse charge Notification No. 30/2012 - ST.

[YAGAY andSUN]

If it is radio tax or meter taxi, then, It would not come under reverse charge mechanism.

[Amar Chand]

if service tax is already chagred in invoice travlling mode can we take credit of the same amt.

AI Summary

Clarification on Service Tax for Employee Taxi Use: Reverse Charge Applies Unless Taxi is Radio/Meter Type per Notification 30/2012. A company inquired whether hiring a taxi for employees traveling from the head office to the factory for official purposes is subject to service tax under reverse charge Notification No. 30/2012. One participant confirmed that the transaction is covered under the reverse charge mechanism. Another noted that if the taxi is a radio or meter taxi, it would not be subject to reverse charge. A third participant asked if service tax charged on the invoice could be credited.