Tax on Payment to contractors
This query is : Resolved
09 June 2010
An educational trust running educational activities, constructing buildings for educational purpose. The contract of construction is given to labour contractor whose payment is more than 15 lacs for the year. is any sales tax deduction required? At what rate? what will be organisation's liability for sales tax?
09 June 2010
If the construction materials are purchased by the trust in their own name and the said materials are made available at the work site by the trust and if the contract is only for labour ,provisions of VAT will not attract since there is no transfer of property from contractor to trust. If there is a written contract, words like materials should be supplied free of cost etc should be avoided.This is general law as far as VAT is concerned. However the respective state VAT law has also to be referred.
09 June 2010
Work Contract Tax will be applicable in this case, which is also regulated by Sale Tax Dept.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- STCG....................................................
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- Treatment of Pension ?annuity returns on PMVY
- TAN for Partnership
- Sales return eway bill
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- Long Term Service award taxability in hands of company
- Is E Way Bill Valid If Transport ID Not Mentioned in PART A But Vehicle details mentioned in PART B
- Specified Profession
- Is it compulsory to File 10E if Income including Pension Arrears is below 12 Lakh for the F Y 25 26
- Gst invoice numbering and delivery challan numbering
- Standard Deduction claim for EPFO Pension and ICICI Prudential Life Annuity
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- Nomination of Bank for refund in itr 2
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
