Applicability of Service Tax in SEZ

[Guest]

I have a query :

Party X provided Works Contract Services of arond 1.6 crores and also willing to provide AMC to assesee located in SEZ at a very low cost in comparison to others.But Party X didnt have Service Tax Code(STC). The query is whether Reverse Charge Mechanism is applicable ? or whether assesee claim refund in Form A4 or not charging service tax in Form A3 ?( but both these form required STC to be filled in ).

[MUKUND THAKKAR]

Any service provided in SEZ is exempted, if contractor have not service tax number than right of exemption is not waive. please consult the authority and explain the fact and difficulty to avoid the payment of service tax.

AI Summary

Service tax exemption for SEZ services remains applicable even if provider lacks service tax registration, consult authority. Service Tax Exemption applies to services provided in an SEZ and that entitlement does not automatically lapse solely because the contractor lacks a Service Tax Code; procedural forms for refund or non-charging require the code, so the provider should consult the tax authority to resolve form-filling and compliance difficulties.