Scope of Auxiliary Services before April 30, 2006

[Jignesh Shah]

Was an individual covered under Business Auxiliary Services before April 30,2006? Friends, can I get a definite Yes or No with reasons? For Service Provider covered under Business Auxiliary Services, the term used (till the end of April 30, 2006) was 'Commercial Concern' and not 'any person', which means an individual was outside the Service Tax net at all under that title even after putting a business title. Does it mean that a sole proprietorship even if it us running its business in the name of say 'Excellent Services' was not liable to pay service tax under Business Auxiliary Services before April 30,2006? As it is a key question, can I expect a definite answer to this? Thanks.

AI Summary

Debate on Individual Liability for Service Tax under BAS Before 2006: Were Sole Proprietorships Considered Commercial Concerns? A discussion on whether individuals were liable for service tax under Business Auxiliary Services (BAS) before April 30, 2006, highlights that the term 'commercial concern' was used instead of 'any person,' suggesting individuals were not covered. A participant questions if sole proprietorships, despite having business names, were exempt. A reply notes that individuals were not liable under BAS before the term change, but proprietorships might be considered commercial concerns. Another contributor argues that merely adopting a business name does not transform an individual into a commercial concern, suggesting that legal interpretations and judgments influence outcomes.