application of service tax

[NARESH BANSAL]

Respected Sir,

we are offset printers of educational books. Doing job work only .The paper is supplied by publisher and he is paying excise duty on paper.But printing ink, plates and chemicals are used by our side.Further the binding is done by another person.

Sir, whether service tax is applicable or not

AI Summary

Offset Printer's Job Work May Be Exempt from Service Tax Under Notification No. 25/2012-ST; VAT May Apply Instead. An offset printer of educational books inquires about the applicability of service tax for job work, where the publisher supplies paper and pays excise duty, while the printer uses ink, plates, and chemicals. One respondent suggests that Works Contract Tax under the Rajasthan VAT Act applies, not service tax. Another respondent cites Notification No. 25/2012-ST, indicating that job work on goods where the principal manufacturer pays duty is exempt from service tax. If no duty is paid on the books, the printer must pay service tax on the service's gross value, including the paper's value.