Tax on the contract work
This query is : Resolved
28 May 2015
dear sir,
on of my client registered under the COT (Commercial tax) and Service tax. AS per COT he has to pay tax on 100% of the works contract and also on 70% he has to pay the service tax.
But as per explanation given by him,,, he has only 30% of the labour involved in his work and remaining 70% is the material.
So he is in situation of not getting any tender work if he quotes such an higher value for the work .
What can be the solution in favour him. kindly suggest.
thanks in advance
on of my client registered under the COT (Commercial tax) and Service tax. AS per COT he has to pay tax on 100% of the works contract and also on 70% he has to pay the service tax.
But as per explanation given by him,,, he has only 30% of the labour involved in his work and remaining 70% is the material.
So he is in situation of not getting any tender work if he quotes such an higher value for the work .
What can be the solution in favour him. kindly suggest.
thanks in advance
28 May 2015
Please let me know your client is register under which state vat and status of your client (ie comapny, firm etc). Further I belive tender clause do have provision for qouting vat rate for dealer registered under composition scheme under vat. So your client qoute rate as per COT.
Normally COT Vat rate on 100% value of contral and ST rate on 70% value of contract to be qouted on the tender as your client is COT dealer
Normally COT Vat rate on 100% value of contral and ST rate on 70% value of contract to be qouted on the tender as your client is COT dealer
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
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
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
