Save Rs 588 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Service tax

Save Share

This query is : Resolved

Tabs (Querist)
Follow

05 June 2011 Dear Sir,

I have brought a flat in Aug-2010 city pune paid uptp 85% ,
Agreement Value :1274200
MSEB Charges : 50000/-
Maintenance : 6000/-
Solar System :20000/-
Society Register : 5000/-

What will be service tax i have to pay now builder ?
why they are charging service tax for property value less than 20 Lac ?

Appreciate if you can clarify

regards

Tabs

Madhukar N Hiregange

Madhukar N Hiregange (Expert)
Follow

06 June 2011 This depends on the contract with the builde and also the stage of building completion as on date of entering into a contract and timing of the payments.

If he is under worsk contract then he would charge you 4.12%.It could be different in different situations.

Tabs

Tabs (Querist)
Follow

06 June 2011 Dear Madhurkar,

Thanks for your advise, but as per finance policy budget 2010/11 The low-cost housing segment (property worth less than Rs. 20 lakh) will be totally exempt from service tax.

Can you please clarify me on this
regards

Tabs

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now