Thursday, December 15, 2011

I'm a labour contractor. Is service tax to be charged on entire paymen or only on my service charge in the bil

I'm a labour contractor. Is service tax to be charged on entire salary payment including my service charge or only on my service charge in the bill?. Pls. carify|||Dear friend,


First of all you need to know that there is no service tax on Salary payments.


The service tax is to be levied only on the amount of services rendered. The other cost such as cost of material, salary of labour and other raw inputs are not subject to tax hence you need to charge service tax only on the amount you have charged as your service.


hope u have the got a satisfactory answer.


bye.

No comments:

Post a Comment