Service tax on road works

[Gaurav Krishna]

Sir, please clarify, Service tax is applicable or not on roads maintenance and new road works.

AI Summary

Service tax not applicable for public roads, applies to private roads; no credit for factory premises roads. A discussion on a forum addresses whether service tax applies to road maintenance and construction. It is clarified that service tax is not applicable to roads intended for public use, including repairs. However, roads not for public use, such as those within colonies or factories, are subject to service tax. Additionally, service tax credit cannot be availed for roads constructed within factory premises, and if a road serves both public and private purposes, service tax applies, but credit is not available due to the nature of the construction activities.