banner_ad

Value for service tax

This query is : Resolved 
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
28 May 2013 DEAR EXPERTS

IF THE LAND OWNERS OF THE PROPERTY COME TOGETHER AND FORM A PARTNERSHIP FIRM TO CONSTRUCT A RESIDENTIAL COMPLEX ON THEIR UNDIVIDED SHARE OF LAND AND CONTRIBUTES THEIR OWN CAPITAL FOR CONSTRUCTION PURPOSE AS WELL AS RECEIVES THE ADVANCES IN THE NAME OF THE FIRM FROM THE PROSPECTIVE BUYERS, ON WHAT VALUE THEY HAVE TO PAY SERVICE TAX ?

ARE THEY LIABLE TO PAY SERVICE TAX ON EVEN CAPITAL CONTRIBUTED BY THEM FOR CONSTRUCTION OR ONLY ON ADVANCES RECEIVED
FROM PROSPECTIVE BUYERS OF THE RESIDENTIAL HOUSES / MULGIES.

MY CONTENTION THAT THE OWNERS AND BUILDERS ARE SAME HOLDS GOOD. PLEASE CLARIFY THANKS IN ANTICIPATION
Profile Image

Ashish Vaish

Profile Image

Ashish Vaish (Expert)
28 May 2013 Yes, your contention is right. The partnership firm would be liable to pay Service Tax only on the advances received from buyers of residential units. The money brought in by the partners would be their capital and not receipts towards services.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news


Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
29 May 2026
Company Secretary - Part time

Shaswat initial support private limited

Ahmedabad

CS

View Details
Company
26 May 2026
Senior Accountant cum purchase Manager

Vardhaman Group of India

Pimpri Chinchwad

CA Inter

View Details
Company
01 June 2026
Audit, Taxation & Compliance Executive

R P S K & Associates

Nashik

CA Inter

View Details
Company
26 May 2026
Audit executive

vdsr & co LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 28 May 2026
Accounts, Audit & Compliance Executive

Shyam Joshi & Associates

Pune

B.Com

View Details
Company
22 May 2026
Audit assistant

Displayandbeyond

Mumbai

CA

View Details
Company
Featured 27 May 2026
Lead Conversion Executive / Sales Closing Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
16 May 2026
Account & Audit Asst

RAHUL KHANDEBHARAD & ASSOCIATES

Nashik

B.Com

View Details