Interior Decorator

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

25 August 2010 in case of Interior decorator involving the use of material in execution of Services ,how sales Tax will be determined

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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25 August 2010 Only the material or goods supplied in relation to the works VAT attaracts. You need to identify the supplied goods covered under which rate of tax

Querist : Anonymous

Querist : Anonymous (Querist)

25 August 2010 How the value of Sales will be determined as there will be no separate bill for materials used in contract???

And what will be the case if materials are supplied by Contract Awarder

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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25 August 2010 Act is not asking you are making separate bill or single bill, but the requirment is VAT will be charges if the materials sold and Service tax will be charged if the service provided. My suggestion is you raise the bill separately your tax will be saved, becasue under VAT you can claim Input VAT also

If the material issue by the contractee, then you donot have any VAT Liability, only service tax apply

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