Dear Sir,
Our factory provided canteen facility to our employees and for this we made contract with caterer. The caterer serves the food in our factory.
Further, our factory covered under the factory act and having facility of air-conditioning, but canteen area not having facility of air-conditioning.
Based above, whether we can eligible for service tax exemption as per new notification vide no.14/2013 ST dated 22-10-2013 ?
Thanks & Regards
9945520067
Factory Exempt from Service Tax on Canteen Services Under Notification 14/2013 ST, Even Without Air-Conditioning. A factory inquired about the applicability of service tax on its canteen services, which are provided by a contracted caterer. The factory is covered under the Factory Act and has air-conditioning, but the canteen does not. A response clarified that the factory is exempt from service tax on canteen services as per the notification 14/2013 ST, dated October 22, 2013, even if the canteen itself is air-conditioned. (AI Summary)
TaxTMI 
TaxTMI 
