service tax on construction of complex (residential)

This query is : Resolved

neha chhawchharia (Querist)
Follow

01 June 2011 can any body suggest what will be the service tax in following cases
i)A builder/developer is engaging a contactor, Designer to carry on construction activity .Who is liable to
pay service tax the contractor or the builder?
ii)What will be the answer if the buliders/Developer employ labours /Interior decorators directly

Vivek Mehta (CA, DISA,CS, MBA)

Vivek Mehta (CA, DISA,CS, MBA) (Expert)
Follow

01 June 2011 In first case the builder will be liable to pay service tax under the services rendered by him for construction of complex. and the desginer and the contractor shall be liable for service tax under the business support and ancillary services.

Vivek Mehta (CA, DISA,CS, MBA)

Vivek Mehta (CA, DISA,CS, MBA) (Expert)
Follow

01 June 2011 While in the second case the labour and desgined will be not be liable for Service Tax....only the builder will be for Service Tax under service for construction of complex

neha chhawchharia

neha chhawchharia (Querist)
Follow

01 June 2011 In case of service being provided by the Promotor/Builder who is the recepient of such services?

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