Service tax leviability on Editing and content management services

[Guest]

Is service tax leviable on Editing and content management services rendered for a Books Publishing Company Client ? If not specifically covered, are they deemed/ covered under Business Auxiliary or Business Support services ??

[Surender Gupta]

The activity of Editing and content management services for a book publishing company is not liable to service tax under Business Auxiliary. However, if it is estabilished that is service is being provided in relation to business or commerce than it become a taxable service under Business Support Service.

[Guest]

These serv are for a client & hence for business. Though not specifically mentioned in Business Support ser, will they Still be deemed to be included therein ?? It may mean that every serv not elsewhere mentioned, is covered under Business Support ??

[Surender Gupta]

What I have observed that in general the people used to read the definition in light of inclusive part the said definition. If you go through the main part of definition of Business Support Services, you would find the scope of this service is very wide. Further, the provisions of business auxiliary service and business support service are not deeming provisions but these are specific provision. Therefore any service which is provided in support of a business, the same shall be taxable.

AI Summary

Business Support Service: editing and content management tied to commercial activity may be taxable under a broad service definition. Editing and content management services for a publisher do not fall under Business Auxiliary. If provided in relation to business or commerce they are captured by the broad Business Support Service definition and are taxable. The Business Auxiliary and Business Support provisions are specific categorical rules rather than deeming clauses, so taxability depends on the service's factual nexus to business activity.