Reverse charge of st on works contract


This query is : Resolved 

(Querist)
08 June 2016 We are a pvt. ltd. engaged in works contract of infra projects such as public roads, canals etc.

In case of labour contract we would deduct TDS and most contractors are individuals. Is reverse charge of ST applicable to us?

Please clarify.

Rupesh Jain (Expert)
08 June 2016 yes you have to pay service tax on reverse charge mechanism.

08 June 2016 RCM is applicable on Works Contract Private company has to Pay RCM for sevice tax payment.


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