what is service tax liability of main contractor in case he engage sub contractors to execute a part of his packing and labour supply contract given by his Clint?
what is service tax liability of main contractor in case angaging sub contractors to execute a part of packing and labour supply contrcat
shaukat hussain
Main contractor can claim CENVAT credit for service tax paid by sub-contractors, reducing their overall tax liability. The main contractor's service tax liability involves the ability to claim CENVAT credit for the service tax paid by sub-contractors engaged in executing parts of a packing and labor supply contract. This allows the main contractor to offset the service tax liability with the credit received from the sub-contractor's payments, effectively reducing the overall tax burden on the main contractor. (AI Summary)