As a Freelance IT Consultant in india do I have to pay Service tax . I provide corporate trainers / trainings.
Answer:
I thought you are the IT Consultant. Well, ofcourse you have to pay service tax, but I guess its exempted till upto the income of Rs. 4,00000/-. This was the case last year, don't know how that stands now. Pls. confirm with a consultant.
Have a nice day!
Yes my dear, service tax is applicable.
If you are providing service in the field of computer software engineering then you are not liable however training services are liable to service tax under commercial training or coaching services. The basic exemption limit of Rs 4 lacs p.a. is available to you.
The service tax is leviable on notified taxable services.For the list of taxable services;please refer to the link below:
http://www.allindiantaxes.com/service-ta.
The scope of "commercial training or coaching service" as defined by the Finance Act 1994 is as under:
(26)“commercial training or coaching” means any training or coaching provided by a commercial training or coaching centre;
(27)“commercial training or coaching centre” means any institute or establishment providing commercial training or coaching for imparting skill or knowledge or lessons on any subject or field other than the sports, with or without issuance of a certificate and includes coaching or tutorial classes but does not include preschool coaching and training centre or any institute or establishment which issues any certificate or diploma or degree or any educational qualification recognised by law for the time being in force"
Since U R not an institute or establishment; you are not liable to pay service tax.
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