Service tax on tyre retreading (job work) on export etc.
AK PUNDIR
(Querist) 20 November 2012
This query is : Resolved
Dear Sir/Madam,
We are tyre retreaders (Resoling of old tyres)in India. Now we are planing to do tyre retreading for Bhutan customer (Received old tyre from Bhutan, Retread (Resoling) in India & Return to our Bhutan customers. We charges on 80% material Charges VAT/CST & on 20% labour charges we charge Service Tax @ 12.36%.
1. Now My first Query is what I do on taxtion point on tyre retreading for foreign country such as VAT/CST & mainly on Service Tax Charges.
2. My second Query is what I do on taxtion point if I Purchase Old tyre from India, then Retread them & supply to Bhutan Customers (Manufacturing of Retreaded Tyres) at present I sale these tyres in India @12.5% VAT/CST (Sale on tax rate as aplicable on New Tyres Sale) Please help/suggest me on both point, jobwork of old tyre (Retreading) & sale of old tyre after retreading (Manufacturing).
Your co operation will be highly appreciated. Thanks a lot.
ajay sethi
(Expert) 20 November 2012
you can afford legal fees . contact a local lawyer
R K JAIN
(Expert) 21 November 2012
No VAT/CST applicable in this case.
Raj Kumar Makkad
(Expert) 25 November 2012
Being a large corporate house, you are advised to avail the specific services of any tax consultant and do discuss your matter with him instead of taking benefit of this public fora.
Ms.Usha Kapoor
(Expert) 27 June 2018
Agree with Makkad and Ajay Sethi.
