Sevice Tax Issues
The Assesse is registered as Travel Agent for booking of Passage (other than Rail & Air). (Assesse does not own any Busess ).He books buses for the transportation of tourist for certain Hotels (Company & Non Companies). The above hotels pays him the entire amount under 194c including his commission . The assesse interns pays the amount received by him to the various bus owners after keeping his commission. He does not receives any bills for the payment he has made to the bus owners. My question is that on what amount the service tax is to be charged by service provider and is their any abatement for the above type of service.
Consider the below e.g
Rs 100000 received by the service provider from hotel for booking of bus( including his commission Rs 5000). Hotel Pays him RS 99000 by Deducting 1% of TDS . The service provider Pays Rs 94000 to the bus owner and keeps his Commission Rs 5000. He does not receive any bill for above payment. more
Consider the below e.g
Rs 100000 received by the service provider from hotel for booking of bus( including his commission Rs 5000). Hotel Pays him RS 99000 by Deducting 1% of TDS . The service provider Pays Rs 94000 to the bus owner and keeps his Commission Rs 5000. He does not receive any bill for above payment. more
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Sir the assesse is registered as Travel Agent for booking of Passage (Other than air and rail) , and the abatement is only available to Tour Operators . both are different services more
Feb 09
What is his proof of payment to bus owners? What is the proof that a bus owners account has been settled? more
Feb 07
Dear Vaibhav By looking the given fact & detail given here, we can say that it is the case which comes under the third category of service tax rules on tour operator. Here the travel agent is only providing the road transportation services. So it comes under the 3rd category under which he will charge service tax on 40% of total amount charged to hotel. S.R. 11 iii of notification no. 26/2012 st dated 20.06.2012 more
Feb 07
