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Service tax on service maintenace contract

Querist : Anonymous (Querist) 02 December 2011 This query is : Resolved 
I'm dealing with Work Order Contracts related to service maintenance contract. At the time of bidding contractor's put different statement on Service Tax. Like as follow:
a) At this time service tax not applicable but in future if applicable same will be reimbursed by you. As our turnover not crossing the limit of applicable service tax.
b) Some contractor's get abatement for service tax,
c) Some contractors puts service tax on 100% services.
d) Some contractor silent on service tax,
In this situation for deciding Lowest offer i.e L-1 is difficult and future consequence generated.
SO my question is that how to solve this for deciding L-1 offer.
Or is it possible that we can ask for only base rate without any sales tax or service tax, to decide L-1 position in tender document?
Kindly comment with any reference if available and in the light that we are Govt organization..
Sankaranarayanan (Expert) 02 December 2011
what business you are doing, and what anser or sugesstion you exactly need from here.
V R SHROFF (Expert) 02 December 2011
Your own suggestion is a correct reply.
Put clause: Any Liability of Service Tax, Sales Tax is that of Contractors. , and it will be deducted a source.
Let them claim from concerned authority.
M/s. Y-not legal services (Expert) 02 December 2011
you can collect this details ans clear this from any one of of expert in your field..

its a technical issue, not legal problem.,

we cant help you to escape from paying tax.,
Querist : Anonymous (Querist) 02 December 2011
Thanks Mr.Shroff.
One more question while not paying any part of sales tax/service tax on serivce maintanance contract I' able to deduct WCT/TDS on base rate?
Raj Kumar Makkad (Expert) 02 December 2011
You are required to deduct service tax at source and deposit the deducted tax in State Exchequer.
prabhakar singh (Expert) 06 December 2011
Rightly advised,i agree.


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