is liable for service tax

[Guest]

Dear Sir

we are bus body fabricator/manufacture

we make new bus body on chassis supplied by bus/travels owner.

we have 2 option of amount charge

1. gross amount include material and labour

2.  only on labour basis when material suplied by bus owner

 are we liable for service tax under both circumstances.

or liable for exice

plz help 

AI Summary

Bus Fabricator Exempt from Service Tax Due to Negative List; Subject to Central Excise Duty as Manufacturer. A bus body fabricator inquired about their liability for service tax when charging for services either on a gross amount including materials and labor or solely on a labor basis when materials are supplied by the bus owner. An indirect tax consultant responded, clarifying that as a manufacturer, the fabricator is subject to Central Excise Duty. Service Tax does not apply due to an exemption in the Negative list, which excludes manufacturing activities from service tax obligations.