Liability of user when Service Provider does'nt collect Service Tax

[prasanna shenoy]

What is the liability of a service user ( contractor ) if his service provider ( sub-contractor ) does not include and collect Service Tax in his invoice.

AI Summary

Contractor Not Liable for Service Tax if Sub-Contractor Fails to Include It, Based on Their Advice. A service user (contractor) is not liable for service tax if a service provider (sub-contractor) fails to include and collect it in their invoice, even if it should have been charged. However, if the sub-contractor can demonstrate that they did not charge service tax based on the main contractor's advice, there might be civil liability, but no tax liability for the main contractor.