Reverse charges.
This query is : Resolved
26 April 2014
I want to know if contractor adopting composition scheme and builder providing all material to contractor and given only labour service to contractor then reverse charges applicable or note and what will be rate of st on bill.
27 April 2014
yes reverse charge applicable to ur service
under 30/2012-st category of manpower supply
ur potion on gross bill 25% so u are liability overall@ 3.09% on gross
Example one month ur labour supply Rs.500000
Actual calculation
♥ Gross Bill Rs 5 00 00/-
♦So ur part 25% = RS 1 25 000/-
♦S TAX → on 125 000/- @12.36%= 15 450/-
Short Cut Calculation
over all S Tax Calculation 3.09% on Gross Bill Rs 5 00 000/- X3.09%= 15 450/-
under 30/2012-st category of manpower supply
ur potion on gross bill 25% so u are liability overall@ 3.09% on gross
Example one month ur labour supply Rs.500000
Actual calculation
♥ Gross Bill Rs 5 00 00/-
♦So ur part 25% = RS 1 25 000/-
♦S TAX → on 125 000/- @12.36%= 15 450/-
Short Cut Calculation
over all S Tax Calculation 3.09% on Gross Bill Rs 5 00 000/- X3.09%= 15 450/-
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
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- GST input credit on commercial property
- GSTR-9C filing
- TDS on Dashcam rent and allied services
- Working on Gold wastage during Melting of old gold jewellery
- Import Order Cancelled.
- Intimation under section 245
- Applicability of tax on invoice
- TDS- 2026-27 Q1 Correction
- GST ITC as per notification 12/2023- central tax
- LLP audit and disclosure
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
