Liability of S.T. under RCM

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....iability of S.T. under RCM<br> Query (Issue) Started By: - Sanjeev Chauhan Dated:- 13-8-2013 Last Reply Date:- 22-9-2013 Service Tax<br>Got 3 Replies<br>Service Tax<br>Sir, Under Partial Reverse Charge Mechanism Service recipient of security services is required to pay S.T. on 75% value. Suppose the service provider has discharge the 100% tax liability, then whether the service recipient is stil....

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....l liable to pay s.t. on 75% value or otherwise. Thanks in advance Reply By Pradeep Khatri: The Reply: There is no exemption available to service recipient. Even in the case of service tax liability has been paid by the service provider after collecting the full amount of tax from the service recipient. Service recipient has to pay his share to the extent of 12.36% on the 75% of the taxable amo....

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....unt. However, service provider or service recipient can seek the refund of excess paid service tax from the service tax department under Section 11B of the Central Excise Act, 1944. Reply By Krishan Gopal: The Reply: Dear Sanjeev, If servcie provider is not a company than you would have to pay service tax (75%) under RCM K.Gopal Reply By MANDAVILLI RAMAKRISHNA: The Reply: this is technical m....

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....istake. take invoice for 100 percent ST from the service provider and release payment to him for entire 100 percent ST. then you can take input claim which can be adjusted towards your liability. it is not a mistake to pay more ST than required amount. but as per RCM, service recipient has to pay 75 percent of ST. so inevitably pay the balance also. or ask the service provider to adjust the ex....

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....tra amount paid towards his liability of other contracts and not to charge your company for the excess paid.<br> Discussion Forum - Knowledge Sharing ....