If i am nor registered for service tax can some one deduct service tax amount from my bill amount?



I an not falling under service tax turn onver limit. My client has diducted srvice tax amount from my bill amount. Can he do so? He has asked for quotation inclusive of all taxes. As service tax not applicable to my firm, I have billed with 0.00 service tax.

If i am nor registered for service tax can some one deduct service tax amount from my bill amount?
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4 Replies to “If i am nor registered for service tax can some one deduct service tax amount from my bill amount?”

  1. Your client cannot deduct what you did not charge him for. Perhaps he does not realize you are not registered. Inform him thusly and ask for full remittance.


  2. Clinet does not have any legal right to deduct the service tax amount from your bill amount.
    It’s the resposibility of service provider to collect & deposit service tax , if applicable.

    The person who is the receiver of the services has not any obligation & hence your client has no legal right to with held the tax amount.



  3. yes he can, because there are some services on which payer needs to pay tax.But in your case you can fight with him because legally it is his duty to pay the tax not your because you are not coming under the tax bracket. try to discuss with him settle it with 50-50 basis.

    Tulsi Gupta





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