Taxability of service tax - space selling service
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In the case of new service introduced 'Space Selling Services', if a TV serial producer bills to another adv. agency for selling time for advertisement. And, that another adv. agency bills it to ultimate client for the same. In this case, will the TV serial producer charge the service tax in his bill to another adv. agency? Or, will the another adv. agency charge the service tax on their bill to ultimate client?
Debate Over Service Tax Responsibility for 'Space Selling Services': TV Producer or Advertising Agency? A discussion on the taxability of 'Space Selling Services' raises the question of who should charge service tax: the TV serial producer or the advertising agency. The scenario involves a TV producer billing an advertising agency, which then bills the ultimate client for advertisement time. One response suggests that if the advertising agency only receives a commission, the bill should be directly to the ultimate client; otherwise, it should be billed to the agency, which will then bill the client. The original question about who charges the service tax remains unresolved. (AI Summary)