Persons liable to pay service tax under service tax law :
- 1. In respect of services provided or agreed to be provided in relation to service portion in execution of a works contract by an Individual ,HUF,OR Partnership Firm including AOP , located in the taxable territory to a business entity registered as body corporate ,located in the taxable territory ,- (a) 50% of service tax shall be payable by the service receiver and (b) 50% of service tax shall be payable by the service provider.
- Works Contract in nature of support services provided by Government or Local Authority – Service tax shall be entirely payable by the service recipient.
- Other than (1) & (2) above the service provider is liable to pay service tax.