der is a construction contractor who has undertaken a contract 4 building a residential complex .as per d contract d material required wd b bought by contractor n den wd b reimbursed by d principal . so wd dis cost of materials / amt reimbursed 4 materials form a part of turnover under 44AB ?
07 July 2009
If Contractor takes bills of material purchase in the name of client and same amount is reimbursed his client then it will not covered in 44AB.
Otherwise if he take bill of material purchase in his name and then charges that amount in his own invoice to client then it amounts to sale and therefore it will cover in 44AB.
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