Respected sir,
Please provide your advice related to Taxi Service at present in our compnay following type of tax running 01.Taxi Service Reated to Staff ,( comming form Gurgaon and various location to factory and back ) We have liable to Service Tax deposit or not Becasue as per notificaiton using words 'Passanger'
Please provide your valuable advice
Regards
Arjun Sachdeva
Company Must Pay Service Tax for Staff Transport; 'Staff' Equals 'Passenger' Under Partial Reverse Charge Mechanism A company inquires about its obligation to pay service tax for a taxi service used to transport staff from various locations to their factory. The question arises due to the use of the term 'Passenger' in the relevant notification. The response clarifies that the company is indeed liable to pay the tax under the partial reverse charge mechanism, as 'Staff' is considered equivalent to 'Passenger' in this context. The advice given is to comply with the tax requirement. (AI Summary)