Transport Operator

[MITSUI PRIME ADVANCED]

Dear Sir,

As per notification no 30/2012 dt 20.06.2012 at presently taxi operator not aware  this type of law and charge Service Tax in bill and after tax on 40% of Bill amount @ 12.36% so total tax is 4.944% w.e.f. 01.07.2012 payable by service provider but our compay paid to service provider because Service tax add in his bill. so comany is not deposited to central goverment account but paid to service provider agaisnt his bill. Please tell me your valuable suguation related to this point if service provider chage service tax on bill and company paid total bill not any deduction

please clear legal position in this matter.

Regards

Arjun Sachdeva

AI Summary

Transport Operator Must Pay Service Tax Under Notification 30/2012 Due to Partial Reverse Charge Mechanism A transport operator inquired about the legal position regarding service tax payments under notification no 30/2012. The operator mentioned that a taxi service provider charged service tax on their bill, which the company paid, but did not deposit to the central government. The inquiry sought clarification on whether this practice was correct. The response advised that under the partial reverse charge mechanism, the company remains liable for the service tax and should pay it promptly to demonstrate good faith.