service tax
sanjay
(Querist) 04 October 2010
This query is : Resolved
we a partnership firm based in pune mahashtra
being the consignment sales agent for one of leading paper mills of india for the last 10 years
now a case has been registered by the sales tax and excise department against the firm demanding a large amount as service tax payable and penalty on the above for the services being rendered to the mills
the process which is followed is
1 goods are dispatched by the mills to the pune region
2 goods are sold on behalf of the mills
3 a monthly report is send to the mills
4 a predetermined commision is forwarded by the mills to our account
my question is
are we laible to pay service tax
R.Ramachandran
(Expert) 04 October 2010
The Department is demanding service tax under what 'taxable service'?
s.subramanian
(Expert) 04 October 2010
Require more details to reply the query.
Madhava Law Office
(Expert) 05 October 2010
Dear Mr. Sanjay,
In my prima facie opinion, your activity would be covered under Business Auxiliary Service and therefore would be liable to Service Tax.
However, this can be confirmed only after going through the agreement between you and the concerned mill.
Ravi Kumar
(Expert) 05 October 2010
Hello there,
in my view, your are liable ot pay service tax under the category of "Business Auxiliary Services". Here it depends upon the agreement between you and your consignor.
V.Mahadevan
(Expert) 05 October 2010
In my view the case will be covered under the Taxable Service Tax category of Business Auxiliary Service - Consignment Agent as the person is presumably engaged in the receipt, delivery and sale for a consideration.
The availability of exemption may be checked with regard o the value of taxable servive rendered in a financial year.
Mahadevan
aman kumar
(Expert) 11 October 2010
agree !if your service come in tax than ...
bt pls insure that your service comes in service tax in which year ? what is the rate of tax that time ? what in your income ? what is the sealing amount for service tax .
