Man power service

[S.C. WADHWA]

Dear Expert,

We are paying loading and unloading charges to our workers as well as outsider at our factory as well as at godown. We are not including this amount in GTA service while paying service tax.

Now my query is whether this amount fall under man power service and service tax to be paid under 100%reverse charge service. Please give your expert opinion.

Regards,

WADHWA

WADHWA

.

AI Summary

Manpower supply: outsourced loading and unloading attracts reverse-charge service tax if company controls and supervises the workers.
Payments to employees for loading and unloading constitute wages and should be recorded as such; they do not create a separate manpower-supply service. Payments to outsiders or supplied labour performed under the payer's control and supervision qualify as manpower supply and may attract service tax under the 100% reverse-charge mechanism. Loading and unloading must be accounted separately rather than debited to a freight account to avoid unintended GTA exposure, and associated statutory labour compliances should be considered.