Service Tax calculation

Orissajob.Com (Querist) 01 March 2009 This query is : Resolved
Dear Sirs
We are the Manpower out sourcing Service Providers, also providing contractual employees to different Organisations.

Shall Service Tax be calculated on the Total bill of the Salary of the Contractual employees

or Shall the Service Tax will be calculated only on our Service Charges (based on our service odderings) only ?

Is there any rules refarding the calculation on total wage or on service charges only ???

May i get a proof of the copy please ??

Regards

Pragatika Mishra

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Rajesh Kumar (Expert) 02 March 2009
Service Tax should be calculated on the gross bill, inclusive of wages of manpower supplied, if you are paying the manpower.

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