Service tax on work contract
This query is : Resolved
27 May 2015
GOOD MORNING TO ALL EXPERT,
WE HAVE TO GIVE CONTRACT OF BUILDING CONSTRUCTION TO A CONTRACTOR AND MATERIAL WILL PROVIDE BY US. .MEANS CONTRACTOR WILL GIVE THEIR BILL ONLY LABOUR CHARGES. THEN IN THIS CASE WILL WE DEPOSIT 50% SERVICE TAX OF SERVICE PORTION ON EXECUTION OF WORK CONTRACTS.
SUPOOSE LABOUR CHARGES BILL EXCLUDE MATERIAL = 88360
THEN CALCULATION OF SERVICE TAX WILL BE=88360*6.18/100**5460
THANKS
WE HAVE TO GIVE CONTRACT OF BUILDING CONSTRUCTION TO A CONTRACTOR AND MATERIAL WILL PROVIDE BY US. .MEANS CONTRACTOR WILL GIVE THEIR BILL ONLY LABOUR CHARGES. THEN IN THIS CASE WILL WE DEPOSIT 50% SERVICE TAX OF SERVICE PORTION ON EXECUTION OF WORK CONTRACTS.
SUPOOSE LABOUR CHARGES BILL EXCLUDE MATERIAL = 88360
THEN CALCULATION OF SERVICE TAX WILL BE=88360*6.18/100**5460
THANKS
CA AnKiT BoHrA (AB)
(Expert)
30 May 2015
https://taxguru.in/service-tax/note-service-tax-work-contract-service.html
but in ur case it wil not b termed as works contract na...
but in ur case it wil not b termed as works contract na...
CA AnKiT BoHrA (AB)
(Expert)
30 May 2015
but i m not getting abt this... why u wil charge 50 %
30 May 2015
Value of service excluding material (Taxable 100%)
THEN S.R AND S.P WILL PAY 50% OF SERVICE TAX
THEN S.R AND S.P WILL PAY 50% OF SERVICE TAX
CA R SEETHARAMAN
(Expert)
01 June 2015
It is a works contract 50% service tax under RCM on entire labour charges bill is payable by your company.
The working given above is right.
The working given above is right.
CA R SEETHARAMAN
(Expert)
01 June 2015
It is a works contract 50% service tax under RCM on entire labour charges bill is payable by your company.
The working given above is right.
The working given above is right.
CA R SEETHARAMAN
(Expert)
01 June 2015
It is a works contract 50% service tax under RCM on entire labour charges bill is payable by your company.
The working given above is right.
The working given above is right.
CA R SEETHARAMAN
(Expert)
01 June 2015
It is a works contract 50% service tax under RCM on entire labour charges bill is payable by your company.
The working given above is right.
The working given above is right.
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CA R SEETHARAMAN
(Expert)
01 June 2015
It is a works contract 50% service tax under RCM on entire labour charges bill is payable by your company.
The working given above is right.
The working given above is right.
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CA R SEETHARAMAN
(Expert)
01 June 2015
Yes you pay, balance 50% service tax has to be paid by service provider unless he is a small service provider. Have you executed contract agreement.
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CA R SEETHARAMAN
(Expert)
13 June 2015
The contract is for construction of building not manpower supply.
CA R SEETHARAMAN
(Expert)
13 June 2015
If you undertake the construction of the building and the contractor is supplying only the labour then it is a man power supply.
13 June 2015
BUT SIR IN MY ABOVE QUERY
WE ARE A COMPANY AND WE HAVE TO GIVE CONTRACT OF BUILDING CONSTRUCTION TO A CONTRACTOR AND MATERIAL WILL PROVIDE BY US.(COMPANY) .MEANS CONTRACTOR WILL GIVE THEIR BILL ONLY LABOUR CHARGES. THEN IN THIS CASE WILL THIS LABOUR CHARGES COMES UNDER MANPOWER SUPPLY ?????????????
WE ARE A COMPANY AND WE HAVE TO GIVE CONTRACT OF BUILDING CONSTRUCTION TO A CONTRACTOR AND MATERIAL WILL PROVIDE BY US.(COMPANY) .MEANS CONTRACTOR WILL GIVE THEIR BILL ONLY LABOUR CHARGES. THEN IN THIS CASE WILL THIS LABOUR CHARGES COMES UNDER MANPOWER SUPPLY ?????????????
CA R SEETHARAMAN
(Expert)
13 June 2015
As you have given a contract for building construction it is not manpower supply.
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13 June 2015
SIR PLEASE DON'T MIND. TOLD ME THAT HOW CAN WE KNOW THAT ANY OTHER TYPE OF LABOUR CHARGES COMES UNDER THE DEFINATION OF MANPOWER SUPPLY OR NOT.
CA R SEETHARAMAN
(Expert)
13 June 2015
See the link.
https://www.caclubindia.com/forum/labour-contract-v-s-manpower-supply-251505.asp#.VXvMAfmqqko
https://www.caclubindia.com/forum/labour-contract-v-s-manpower-supply-251505.asp#.VXvMAfmqqko
13 June 2015
SIR CAN YOU GIVE ME SOME EXAMPLE WHICH COMES UNDER MANPOWER SUPPLY AND AND LABOUR CONTRACT
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CA R SEETHARAMAN
(Expert)
13 June 2015
In case of building construction under labour contract the contractor brings manpower and take material from owner and constructs the building under his supervision.
In case of manpower supply the building will be constructed by owner under own supervision using the supplied man power.
In case of manpower supply the building will be constructed by owner under own supervision using the supplied man power.
13 June 2015
BUT SIR I READ AN ARTICLE OF RCM WHERE I READ THAT
Value of service excluding material
(Taxable 100%) 50% FOR S.P AND 50% FOR S.R.
THEN IT IS ALSO LABOUR CHARGES.SO WHAT RATE APPLICABLE FOR THIS SERVICE MANPOWER SUPPLY(14%) OR 50 % BOTH S.P AND S.R
Value of service excluding material
(Taxable 100%) 50% FOR S.P AND 50% FOR S.R.
THEN IT IS ALSO LABOUR CHARGES.SO WHAT RATE APPLICABLE FOR THIS SERVICE MANPOWER SUPPLY(14%) OR 50 % BOTH S.P AND S.R
CA R SEETHARAMAN
(Expert)
13 June 2015
It is building construction contract value of service excluding material taxable at 100%, 50% for S.P and 50% for S.R.
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