service tax on commercial construction - taxable value

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

04 September 2010 in case of commercial construction services
Say RA bill is raised for Rs 100000. of it security deposit kept = 5000 and TDS = 2000. so net reciept = 93000.

so now i have following queries

1) Whether 100000 or 95000 or 93000 should be considered for calculating 67% abatement for the payment of service tax

2)after calculating abatement, whther service tax is to be charged over and above that 33% component or it can be considered as included in that 33% component and calculated by doing reverse calculation.

3) if the RA bill mentions that the bill is inclusive of all taxes, then whether we can say that the 33% component is inclusive of Service tax.

pls reply when u r 100% confident regarding different treatments.

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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04 September 2010 1. You need to pay Service tax on Rs.95000 and balance on Rs.5000 can be paid after receive the payment

2.This is based on your Billing value if your billing value including service tax you need to back calculation on 33%

3.Same answer as No.2

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