site preparation

[Guest]

please suggest service tax will be applicable on transportation charges of machinery in site preparation & clearance service category

[Pritesh Chhajed]

IF it is recovered from the customer, the transportation charges would be leviable to tax.

Reg

AI Summary

Taxability of transportation charges: recovered transport fees for machinery in site preparation are taxable when recovered from the customer. Where the supplier expressly recovers transportation charges from the customer as part of the consideration for site preparation and clearance services, those transportation charges are treated as part of the taxable value and are leviable to tax; costs not recovered from the customer do not constitute a taxable separate charge.