07 April 2013
The composition rate of tax is still 4% of the total turnover. If a part or whole of the work is entrusted to a sub-contractor then the amounts paid or payable to such sub-contractor shall be deducted from the main contrator's turnover.This is subject to the condition that the concerned sub-contractor is registered under the VAT Act and he has reported these payments received or receeivable as his receipts in his returns and paid vat accordingly......mjk
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