Service tax - transport

[mahesh nandwani]

A Pvt Ltd company who has got itself registered with the Service tax department for transport paymnets, also makes payments to the transporters who are companies i.e. those transport companies are supposed to collect service tax from the consigner/consignees. My query is whether the pvt ltd company has to pay the service tax amount to those transport companies or pay themselves to the service tax department as it has got the registration no. Pl advise, thanks

[Madhukar N Hiregange]

The liability to pay ST if the consignor/ ee is a company rests with the co and not with the transporter ( any status) As already registered the co is to pay the ST

AI Summary

Service tax liability rests with the company when consignor or consignee is a company, requiring registered company to pay. The operative rule is that service tax liability rests with the consignor or consignee when they are companies, not with the transporter; a company that is registered for service tax must pay the tax itself rather than relying on transporters to remit it.