Taxability under service tax - category

[madhavvan n]

Company is engaged inprinting of posters stickers leaflets brochures annual reports calendars directories technical manual and stationery work whether above activity is taxable service and under which category Company charges vat and it is supplying the finished items as described above on the same transactioon will vat and service tax apply

[Rama Krishana]

The services in question are in the nature of business auxiliary service or alternatively in the nature of supply of goods as per the specification of the customer. This issue controversial in excise too. Since the most likely taxable cattery in the service tax is the "business auxiliary service" the same has been exempted from this category by notification no. 14/04. Therefore, in my view on this transaction, service tax should not be applicable on the activity in question.

AI Summary

Printing Services Exempt from Service Tax Due to Notification No. 14/04, Only VAT Applicable for Posters and Brochures A company involved in printing various materials, such as posters and brochures, inquired about the applicability of service tax on its activities, questioning whether these should be taxed under service tax or VAT. A respondent clarified that these services might fall under 'business auxiliary service' or as a supply of goods per customer specifications. However, due to a specific exemption under notification no. 14/04, service tax is not applicable to these activities, suggesting that only VAT should apply to the transaction.