TaxTMI 
TaxTMI 
Hi,
Need clarification for Manpower tender to be floated including or excluding of ESI,PF & GST? Request reason as to why to include or exclude ESI, PF & GST?
tender floating issue
14 Dec 2019 
3 Replies 
1365 Views Asked by
Guest 
Service tax valuation: labour costs and ESI/EPF contributions included, affecting tender pricing and tax treatment.
Valuation of Security Agency services must include the gross amount paid by the recipient; labour cost and employer contributions for ESI and EPF are not excludible from the taxable value. Service tax is charged on the gross consideration, including input goods and services and total labour cost, with ultimate burden on the consumer. In tendering for manpower, ESI, PF, bonus and GST should be accounted for in pricing. (AI Summary)
Valuation of Security Agency services must include the gross amount paid by the recipient; labour cost and employer contributions for ESI and EPF are not excludible from the taxable value. Service tax is charged on the gross consideration, including input goods and services and total labour cost, with ultimate burden on the consumer. In tendering for manpower, ESI, PF, bonus and GST should be accounted for in pricing. (AI Summary)