Log in Register

Login to your account

Username *
Password *
Remember Me

Create an account

Fields marked with an asterisk (*) are required.
Name *
Username *
Password *
Verify password *
Email *
Verify email *
Captcha *
View more blog entries

Consult Construction

Consult Us For Construction

Taxability of Activities of Business Consultancy

Posted by on in Uncategorized
  • Font size: Larger Smaller
  • Hits: 516
  • 0 Comments
  • Subscribe to this entry
  • Print
  • Report this post

 

2015-VIL-431-KAR

THE STATE OF KARNATAKA Vs IBM INDIA PVT LTD

Karnataka Sales Tax Act – Sale – Goods - Taxability of activities of business consultancy services and implementation of the Enterprises Resource Planning (ERP) software – Whether the activity is pure services not involving any sale of goods or any transfer of property in goods in the execution of works contract – Development and integration of ERP software

HELD - In integration process there is no transfer of any goods involved. There is no marketable commodity in existence to be sold. Unless such a commodity, whether tangible or intangible, exists there cannot be a sale - the title of the software vests with the client and not with the assessee. What the assessee is entitled to is the consideration for the services rendered - the said deliverable materials do not constitute commercially available software and are not marketable. They are not goods available in the market - The entire consideration received for providing services to the client have been subjected to service tax. Therefore, no portion of the consideration received could be attributed to sale of the software. Therefore, the finding recorded by the Tribunal is based on legal evidence and supported by the legal position as declared by the Apex Court in several judgments – Revenue revision petition dismissed

Rate this blog entry:
47
Trackback URL for this blog entry.

Comments

  • No comments made yet. Be the first to submit a comment

Leave your comment

Guest
Guest Monday, 23 October 2017

Like us on facebook

Twitter Feed

ConsultC RERA - Certiication issues faced by Institute of Chartered Accountants of India https://t.co/wdJ0NSNYvh
ConsultC Webinar - 1 Optimising Ongoing Contracts Negotiations and Stock Credits through GST Builder... https://t.co/FoXeOs433G

Address

Address:
304, Super Plaza, Sandesh Press Road, Vastrapur, Ahmedabad
Gujarat-380054
Tel:
+91 - 079 - 40032950
E-Mail:
This email address is being protected from spambots. You need JavaScript enabled to view it.
Website:
www.consultconstruction.com

markerFind on Google Maps

Who we are

We are Ahmedabad based professional consulting firm. We are providing various services to Construction, Real Estate and Project Companies in various areas like Indirect Taxation – Service Tax & Multi state VAT consultancy, ERP implementation, Site & Management audit, Designing Tender & other related contractual documents etc.