New flats - service tax - is vat a component of st
This query is : Resolved
23 November 2016
I find from the official site of CBDT that VAT & UDS are not a component of Service tax while computing service tax on the new constructions.
But, some builders are including VAT for the purpose of service tax.
Link - http://www.cbec.gov.in/resources//htdocs-servicetax/faq-29sept11.pdf
Relevant Portion of FAQ
A-10. Is the value added tax imposed by States required to be included for the purpose of service tax?
For the purpose of service tax, State Value Added Tax (VAT) has to be excluded from the taxable value.
I am not able to get any reply from the CBDT office at Anna Nagar Chennai on this clarification, as the builder might not accept anything other than a letter from the tax authorities.
I need your help on two things
a) whether my understanding on the non-inclusion of VAT for ST is correct?
b) How to enforce this with the builder not to charge ST on VAT
Thanks for your kind help
Regards
Rajasekar
But, some builders are including VAT for the purpose of service tax.
Link - http://www.cbec.gov.in/resources//htdocs-servicetax/faq-29sept11.pdf
Relevant Portion of FAQ
A-10. Is the value added tax imposed by States required to be included for the purpose of service tax?
For the purpose of service tax, State Value Added Tax (VAT) has to be excluded from the taxable value.
I am not able to get any reply from the CBDT office at Anna Nagar Chennai on this clarification, as the builder might not accept anything other than a letter from the tax authorities.
I need your help on two things
a) whether my understanding on the non-inclusion of VAT for ST is correct?
b) How to enforce this with the builder not to charge ST on VAT
Thanks for your kind help
Regards
Rajasekar
23 November 2016
a) Your understanding is right.
b) Show the Sl No. 3 of circular to the builder. Circular No.192/02/2016-Service tax.
b) Show the Sl No. 3 of circular to the builder. Circular No.192/02/2016-Service tax.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GSTR-1A How to update Invoice
- Excess salary payment.
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- TDS on Purchase of Immovable Property by NRI from NRI
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- Stamp Paper for partnership firm change new income tax 2025
- Capital gain from sale of house property
- When TDS on GST applied
- Before GSTAT- APL-02 Vs APL-04
- Annual return in Gst
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
