(Querist) 19 January 2011
This query is : Resolved
in case of deemed sale[[like hire purchse etc]] as specified in article 366[29A] whether it is mandatory to bifurcate sale elemet or service element........
(Expert) 20 January 2011
Hire purcha transactions are taxed under state Value Added Tax Act on the gross value.However , if the service charge can be segregated out of the hire-purchase cost, then Service tax can be paid on the said component at applicable rates under the Head Business Auxiliary Services .