Dear Expert
we are providing service of Construction service of Commercial and indus. civil structure (works Contract Service) but our contract only for labour works and we are charges Service tax at the rate of 12.36 percent on 100 percent Contract Value so can i pay Service tax in Categri of Works Contract. or any other categri.
thanks
Service Tax Clarification: Contract Involving Labor in Construction Categorized as Manpower or Construction Service; 12.36% Rate Confirmed A user inquired about the appropriate category for service tax on a contract involving labor work for commercial and industrial construction services. The response clarified that a works contract requires the transfer of property in goods, which is not applicable in this case. The service should be categorized as either manpower service or commercial/industrial construction service, depending on whether the manpower is under the client's control. The service tax rate of 12.36% on the full contract value was confirmed as correct for the latter category. (AI Summary)