Service tax applicability - Development of product

[Vijay Chitte]

We are service provider of product development, in this regard our clients are providing all material and we developed a new product for our client. DEVELOPMENT OF PRODUCT, IS IT TAXABLE SERVICE OR EXAMPT FROM SERVICE TAX?

AI Summary

Service Provider Questions Service Tax Applicability When Clients Supply Materials; Responses Indicate Taxable under Consulting Engineering Services A service provider in product development inquires about the applicability of service tax when clients supply all materials for product creation. Two responses were received. One suggests the service may fall under consulting engineering services or scientific and technical research, referencing a new entry related to design. The other response affirms that the service is taxable.