Service tax on construction industry

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This query is : Resolved

shh (Querist)

30 December 2012 Suppose advance was recd in 2011 on which Service tax was paid @ 10.3% , & now the cancellation has been done in 2012 i.e, when rate of service Tax is 12.36%, the advance Amount has been returned / booking has been cancelled.

What will be the impact of this ?
Will the cenvat credit be available of amount paid earlier ?

Madhukar N Hiregange

Madhukar N Hiregange (Expert)

31 December 2012 Yes available as a recredit now. Tobe disclosed separately.

shh

shh (Querist)

31 December 2012 sir but credit will be available of amt originally paid i.e., 10.3% or the prevailing rate 12.36 %.
I suppose 10.3%
Plz Do correct me if I am wrong

Arun Gulati

Arun Gulati (Expert)

31 December 2012 yes, 10.3% what you had paid to government.

shh

shh (Querist)

15 January 2013 SIR FOR COLLECTION OF VAT WE ISSUE DEBIT NOTE TO BUYERS OF FLAT BUT FOR COLLECTION OF SERVICE TAX WHAT SHOULD BE DONE

CAN A NORMAL CASH RECEIPT BE GIVEN STATING THE AMOUNT IS RECEIVED AGAINST SERVICE TAX AS IN CONSTRUCTION INDUSTRY INVOICE IS NOT ISSUED.

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