Exemption - Notification 8/2005

[Guest]

My query is regarding the job work. our company undertakes painting job from maufacturer and returns the material after the job is done. As peer Notification No.8/2005, exemption is provided to taxable service of production of goods on and for behalf of a client referred iin sub clause (v)0 of clause 19 of section 65 of the  Finance Act, 1994, froom payment of Service Tax. i would like to know whether while filing ST Return the value of service provided has to be mentioned inthe field 'Amount billed for exempted services other than Export' in Point No.4. and corresponding notification no. Our company is registered for providing Business Auxillary Servicce, and therefore will the same be covered under the aforesaid service. The client has provided a letter stating that the item sent for job work further undergoes some production work. can anyone guide me on this issue.

AI Summary

Clarification on Reporting Exempted Painting Services Under Notification 8/2005 in Service Tax Returns for Manufacturers A company inquires about the applicability of Notification 8/2005 concerning service tax exemption on job work services, specifically painting jobs for manufacturers. The company seeks clarification on whether to report the value of exempted services in their service tax return under 'Amount billed for exempted services other than Export.' A respondent clarifies that job work not amounting to manufacture is generally taxable under business auxiliary services. However, exemption applies if the client pays excise duty on the final product. The company should report exempted services in the specified section of the ST-3 return.