Hi,


I am building a new house on my own land in Gurgaon, Haryana. For this, i have employed a contractor for finishing purposes, as structure is already done. Finishing includes woodwork, flooring, painting, plaster, installation of light and sanitary fixtures, waterproofing etc.


In my contract, areas and works to be done and their rates have been clearly mentioned and agreed. The make/brand of granite, stone, marble, wooden boards etc have also been agreed. The agreed rates include cost of material and lobour.

The contractor has been paid some advance, and raises a bill to me after every few lakhs with details of work done. Work done is inclusive of material and labour/installation charges. I deduct the advance on every bill. The contractor gives me the gross bill amount, and adds service tax of 14% on every bill. Tis bill is verified by my architect first, and only then paid by me.

My query here is, am I supposed to pay service tax on the entire bill amount? If the bill is being raised for labor and material together, then shouldn’t I be paying service tax on the labour component only? How much would that be? I believe the law is 40% of contract bill raised should attract service tax only? If so, what is the law/ section I should communicate to my contractor for his reference, as there would be some argument on this. Does the word "renovation" have any significance while raising bill as below ? In the actual contract, it mentions the contractor is being used for construction and interiors.

Thank you so much for your help.

Sample bill raised by contractor as below:


Contractor name and Private limited company details with service tax and pan card no


To,


Mr Aditya


Running bill for Mr Aditya for renovation of house

Address :no XX


Gross amount : 100000

Add service tax 14% : 14000

Total amount to be paid: 114000

Enclosed : details of works done


Signed by director of Private limited company.

Hello, We had under genuine belief taken the cenvat credit on a certain invoice in 2012. HOwever during our Audit in Nov 2015, it was said by officer that the credit has been wrongly taken and must be reversed along with penalty and interest. Although we had taken the credit by mistake, the same was never utilized to make the payment of service tax until Jan 2015 as we already had enough closing balance as per our returns. Thus in such a case is interest applicable and if yes from when would it be - from July 2012 or Jan 2015. Also would penalty be applicable? Many thanks in advance

Can anybody advice what are the documents required to get the proprietorship firm service tax registrations? I have filled and submitted the ST-1 form on aces.gov.in . Apart from PAN card an id proof (as passports) what else is required ? Registering promise is on my son's name. Do I need to submit his NOC? Kindly advice if NY body has any idea?

we have given for rent for immovable property in this what are all input can take while paying the ST.

E.g. Security Guard Bill, Lift maintenance, electricity bills etc.,

Assessee entered into Joint Devep Agrmt (JDA) with construction firm.
Assessee transfered land, construction firm constructs building.
Who should charge service tax?
Service receiver or Service provier?
Will it come under declared services or partial reverese charge mechanism

The Delhi Government in compliance with the orders of Hon’ble Supreme Court of India has imposed “Environment Compensation Charge” (ECC) w.e.f. 1st November, 2015 on commercial vehicles entering Delhi.

The issue is whether service tax is applicable on ECC.

Hi sir,


This is prashanth kumar R .. i m workinng as a/c executive

I hv query about 0.5% tax . could be take cenvat credit ?

if not ..tel me wt is transaction intally

Dear Sir/Madam,

What is the procedure for change of name in Service Tax Registration on conversion of partnership firm into LLP.

How we can amend made in ST 2


Thanks & Regards
Himani Agrawal
cahimaniagrawal@gmail.com

sir, our clint is PVT.LTD. company having business of hotel and resorts. no company had construct an new resort building on labour contract basis , on which company deduct TDS on payment , but contractor did not charged service tax on his labour bill the total contract value is about 25 lacs. what will be the service tax liability and who will be responcibal for that.

In a factory, I have availed the services for repairs of motor and other machinery from an a outsider(Individual- Service provider) not crossed 10 lakh limit. Whether as a service receipent under partial reverse charge or full reverse charge mechanism I have to pay service tax. Bcoz I m excise duty payer. Urgent