Registration under service tax

[Guest]

one of my client is distributor of m/s bharti airtel ltd to sale connections with or without mobile handset and recharge coupn also. we have taken service tax number on the advise of company under business auxillry services.The company is giving us connection for rs. 25 and the mrp of connection card is rs 90 and the company is charging service tax on mrp i.e. on rs 90.we are selling the card for rs 25 and after activation of connection the company will giv rs.10 for each card. how we should file our s.t. return. whether it is necessary to hod service tax number for us.

AI Summary

Telecom Distributor Not Required to Register for Service Tax Under Business Auxiliary Services; Focus on Marketing Role A client, a distributor for a telecom company, sought advice on service tax registration under business auxiliary services. The company provides connections at a cost of Rs. 25, with a maximum retail price of Rs. 90, and charges service tax on the MRP. The distributor questioned the necessity of holding a service tax number and how to file returns. The response clarified that the distributor is not required to pay service tax, as their role is limited to marketing and distribution, earning profits from these activities.