Service Tax on Labour Charges

[Harpreet Singh]

Respected Seniors

I have a query related service tax. Kindly help.

Brief History: We being a Limited Company Received a Bill of Installation of Batteries for Labour charges only. Bill dates back to Feb 2016. Contractor is a partnership firm and has not charged service tax on the bill.

query: whether service tax be applicable under Reverse Charge and if yes how much?

Kindly help.

AI Summary

Service tax reverse charge on manpower supply may not apply to standalone installation labour; classification hinges on invoice description.
Whether service tax on labour charges for battery installation is subject to reverse charge depends on classification: if the activity is Manpower supply (personnel supplied to work under recipient's control), reverse charge applies; if it is an independent installation/commissioning service performed under contractor supervision, it is not manpower supply and reverse charge does not arise. Invoice description materially affects classification and consequent tax treatment.