Service Tax
nikul
(Querist) 16 April 2009
This query is : Resolved
we are engaged in building construction with various govt deptt's
one of our client is Haryana Tourism for them we have done const of commercial touriust complexes etc
We have been told by central Excise deptt that we have to pay the service tax on such const. and we have aklready taken the registration with Central Excise deptt and paying the requisite tax
Since the service tax is to b paid / reimbursed by the actual owner of the constriuction we have sought the same from our client (HTC) but they have refused to make any such payments to us
we pleaded that this shall primarily b a cost input to the project and no such provisions were made while we were awarded the project
They r not accepting to this fact at all, even for the items not covered in the original tender and for which the Rate analysis that r being made on market rate bases , they are not allowing for the provision of service tax...
Pls advice, if we can seek relief thru any court of law?
also pls suggest us some good laweyrs practising for such cases in and arround chandigarh n haryana
regards
Nikul Aggarwal
09357664221
A V Vishal
(Expert) 16 April 2009
Advise to invoke arbitration clause in the agreement, but basically the terms of contract are crucial, since service tax is an indirect tax the same shall be borne by the service receipient unless stated otherwise in the agreement