Just a moment...

Report
FeedbackReport
×

By creating an account you can:

Logo TaxTMI
>
Feedback/Report an Error
Email :
Please provide your email address so we can follow up on your feedback.
Category :
Description :
Min 15 characters0/2000
Add to...
You have not created any category. Kindly create one to bookmark this item!
Create New Category
Hide
Title :
Description :
+ Post a Query
Post a New Query
Title :
0/200 char
Description :
Max 0 char
Category :
Delete Reply

Are you sure you want to delete your reply beginning with '' ?

Delete Issue

Are you sure you want to delete your Issue titled: '' ?

Discussion Forum

Back

All Issues

Advanced Search
Reset Filters
Search By:
Search by Text :
Press 'Enter' to add multiple search terms
Select Date:
FromTo
Category :
OR
Search by Issue ID:
NOTE: If you have inputs in both the fields, then results will be shown for issueId first.
Issue ID : 3830
- 0 -

Sub contractor liability on service tax.

Date 18 Feb 2012
Replies3 Answers
Views 9334 Views
Asked By

Where the main contractor and sub-contractor both are invoved in same contract. In this case whether main contractor is liable to pay service tax.

3 answers
Sort by

Old Query - New Comments are closed.

Hide
- 0
Replied on Feb 19, 2012
1.

In this regard, pl.see service Tax Circular dated 06.5.2011.Both are liable to pay service tax. However, main contractor may avail cenvat credit of service tax paid by sub-contractor on services rendered by him

 

Rakshit Verma

Advocate

- 0
Replied on Feb 19, 2012
2.

But Nofn.1/2006 does not permit cenvat credit?

- 0
Replied on Feb 27, 2012
3.

As per CBEC Circular dt. 23.8.2007, if part of the work is entrusted to sub-contractor, the service tax paid by the sub-contractor can be taken as credit by the main contractor since it is an input service for him. However, if the entire work is entrusted to the sub-contractor, the entire service stands rendered by the sub-contractor and he shall be liable to pay the tax and the main contractor cannot take the credit since he doesn't provide any output service. As regards Nofn.1/2006-ST, if it is a case of part work done by the sub-contractor, credit can be taken by the main contractor but the service tax has to be discharged without availing the benefit of abatement under the said notification.

Old Query - New Comments are closed.

Hide
Recent Issues