What are the service tax liability on a firm engagged in construcion on residential flats at present?
Kindly give secion and ruleing.

We have a Real estate business formed as a private limited company.A land has been purchased by Rs.40 lakhs in the company name and the construction work has been started from 01.07.2011. Construction cost of The entire project is Rs. 2.50 crores ( Excluding Land Value). The project cosists of 24 flats to be executed for customers. Out of which 8 flats to be sold by Rs.16 lakhs each, 8 flats to be sold Rs.20 lakhs and rest 8 flats to be sold 25 lakhs each.10 Garages to be sold Rs.2 lakhs each and 5 Commercial shops to be sold at Rs. 3 lakhs each and 5 commercial shops to be sold as 5 lakhs each.We have got the service tax registration on 31.12.12.
My questions are:
1) Whether we will avail 75% Abatement scheme as per new service tax rule?
2)What is the service tax liability we will charged and collect from :-
a) customers for Residential flats for 16/20/25 lakhs.
b) Customer of Commercial Shops of 2 lakhs/ 5 lakhs as the case may be.
c) Customers of Garage space.

Dear All,
The reverse charge mechanism is applicable from 01.07.2012. However, if the bills were raised before 01.07.2012 and payments for the same afterwards, is the recipient of Service Tax liable to pay tax per the reverse charge mechanism?

Thanking in anticipation.

I am already registered under service tax but at that time i had no idea about reverse charge cases. At present time i am liable to pay service tax under reverse charge mechanism. My question is that whether i need to take new service tax registration or revise my current registration.

Hope you will resolve this query soon. Thanks for your support.

Dear Sir,
I have come across an issue regarding TDS deduction on Service tax under RCM. The detailed quire is as below:

The contract with contractor (handling contract) was entered into before RCM came into action. as per contract, nothing has been mentioned of any additional taxes which comes into being in future. So the ST component under RCM payable by Service receiver becomes expense for the service receiver , i.e. unrecoverable from service provider.

EXAMPLE:
contractor monthly bill : ₹40000 (nothing mentioned about ST)

company deducts TDS on ₹40000 : ₹40000*2% = ₹800. And pay Contractor ₹39200

company pays ST under RCM say, ₹3708 in contractors ST registration no. and charge it to expense GL.

Now, my quire is about TDS to be deducted.

1. (40000 + 3708)*2%

OR

2. 40000*2%

which of the above is correct.

supose in one year a firm's turnover exceeds rs.10,00,000 So it is liable to get service tax registration bt if in next year if turnover doesnt exceed the said limit then also we have to pay service tax or nt

hello friends,

i have a small pvt ltd company, from 01-04-12 to till date i didn't paid service tax , now i want to paid so any my service tax return will be file of 01-04-12 to 31-10-12 ?

individual assessee provides 2 services :- rental of immovabble & brokerage in cloth business.

service tax on rental income was collected in bill and hence, paid off via challan to department.

for brokerage, no service tax is collected.

total of both is only rs.8 lakhs a year (this is 1st year).

My querry :-
this rule that once payment is made of service tax, option to claim exemption of 10 lac in a year is no more applicable.

So now,can he claim 10 lac exemption?

my view- he had paid only as he had collected, he still can claim 10 lac exemptin.

any views,
regards, ca kunjan , kunjan@nsc.in www.nsc.in

Dear Sir
my firm is a real estate firm, we got service tax no on dt.17/12/2012 and our transaction from april-12 to oct-12 was Rs.850000.00 and we made inv Rs.405000.00 in the month of Oct-12 and our limit exceed from 10 lakhs in the month of nov -2012.we do not pay any service tax.So my question are what amount of service tax will pay and what is the interest amount for how many days?

kindly advice to me

Thanks
sahil

Sir,

Any one please solve my Query- that one of my friend is running a prop.ship firm of trading of goods in Delhi. He has to pay freight to Transporter on Consignment note basis regularly since the goods come through other state. He is not registered with the service tax deptt, since he is not doing business of providing services. Should he has to register his prop.ship firm or himself with service tax deptt.and should he has to pay Service Tax under GTA (reverse charge).

Thanks in Advance for prompt reply.

Anil Jain
9312640067
akj9312640067@gmail.com