Pradeep Jain - Chartered Accountant

As per n.n 25/2012 service tax 30. Carrying out an intermediate production process as job work in relation to - (a) agriculture, printing or textile processing; (b) cut and polished diamonds and gemstones; or plain and studded jewellery of gold and other precious metals, falling under Chapter 71 of the Central Excise Tariff Act ,1985 (5 of 1986); (c) any goods on which appropriate duty is payable by the principal manufacturer; or (d) processes of electroplating, zinc plating, anodizing, heat treatment, powder coating, painting including spray painting or auto black, during the course of manufacture of parts of cycles or sewing machines upto an aggregate value of taxable service of the specified processes of one hundred and fifty lakh rupees in a financial year subject to the condition that such aggregate value had not exceeded one hundred and fifty lakh rupees during the preceding financial year; So the job worker has not to charge service tax But if he wrongly chages service tax in the bill and if we take the credit on the basis of which Wheather depart will disallow

According to various judicial pronouncements, it is clear that credit availment cannot be challenged at the end of service recipient if the service tax payment is not disputed at the end of service provider. However, the revenue department will surely object credit availment of the service tax paid by the job worker when there was no need to pay service tax due to exemption in force. But, in our opinion, the credit can be legitimately availed because there is no provision under the Service Tax laws as section 5A(1A) in Excise Act, 1944. In excise, there is section 5A(1A) that if there is absolute exemption, then the manufacturer is not liable to pay excise duty and if the duty is paid, it will not be treated as duty. Accordingly, it is difficult to avail cenvat credit of excise duty if there was complete exemption. But, as there is no similar provision in service tax, the contention of assessee becomes stronger. Accordingly, the issue is prone to litigation and availment of service tax credit when there is absolute exemption should be avoided. {Query replied by: CA Neetu Sukhwani}

Sir, we are a taxpayer dealing in health care services. We have been making supply on which tax was payable by us but we have not paid the same erroneously. The same has been pointed out by department recently. Please suggest whether we have to pay interest and penalty along with tax.

As per sub-section (5) and (6) of Section 73 of CGST Act, if you have made payment of tax and informed the same to the department then the department ...
Sir We are dealing in trucks. We have received an export order from foreign buyer. We wish to procure trucks from 5 different manufacturers and supply them directly to the port without receiving on our own premises. Can we do the same to take benefit of merchant export by paying tax @ 0.1%.

. Yes, as per Notification 41/2017-intergrated tax (Rate) dated October 23, 2017, benefit of notification is available only when the material moves fr ...
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Under GST regime, agriculture produce means “any produce out of cultivation of plants and rearing of all life forms of animals except rearing of hor ...
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As per rule 96B introduced with effect from 23-3-2020 provides that where any refund of IGST paid on export of goods has been received by the exporter ...
What Is the GST rate for interest and penal charges levied by Chit Fund Company in case GST on foremen commission charged is @12%?

GST rate on foremen commission is charged at the rate of 12%. Similarly, GST rate on interest and penal charges shall be @12% only. The same view was ...
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. In the given query, after the interception a temporary ID was created by officer of state-2. However, the login ID and password of temporary registr ...
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Export of service is defined under section 2(6) of the IGST Act. It means supply of service when: ? The supplier of service is located in India. ...
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As per provisions of GST, where an e-way bill has been generated but goods are either not transported or are not transported as per the details f ...
The Taxpayer made exempted supplies but forgot to choose the same in GSTN while registering, can he be said to fail his right of exemption?

We do not claim exemption while filing registration application. It is being claimed in GSTR-3B returns. Moreover, only five major products are to ...
If a taxpayer made mistake declaring the HSN/SAC of goods and services supplied, what are the consequences?

Under GST law, one of the most important elements is the classification of goods/services for the purpose of determination of rate of tax to be l ...

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