Service tax coverage on steel fabricators

[Atul Gupta]

Dear Friends,

My client is a steel fabricator. He has contracts with supply of material and without material. In case, his contract involves material as well as labour, it will fall under work contract services. But in case, the material is not involved, only labour part is involved i.e erection / installation services then in which category of service will he be covered? I am confused between the following services:

1. Erection, Instalation & Commissioning.

2. Repair & Maintenance Services

3. Business Auxilliary Services

Please share your views and suggestions.

Thanks & Regards

AI Summary

Erection, Installation and Commissioning services cover steel fabrication involving labour to install or commission assets; BAS applies if done on client's behalf.
Where only labour is provided to erect, install or commission plant, machinery, equipment or structures (including related sheet metal, pipe work, HVAC and similar work), the activity is classified as Erection, Installation and Commissioning services; repair and maintenance covers contractual maintenance or repair of properties or goods; Business Auxiliary Services may apply where fabrication is undertaken on behalf of the client as an ancillary business support.