18 August 2012
Dear Expert, I Was Book flat at Pune in december 2009,& i take possession of flat in the month of May 2011,builder charge me service tax during that time,but today builder mail me pay vat @ 5% on Flat value ,is it any provision,how can builder pay vat after two & what is rate & provision please tell me bez i am also CA Final student.
20 August 2012
As per amendment to definition of sale and Trade circular No. 23T of 2006 dt. 11th Sept. 2006, transactions attracts tax, in Maharashtra. Demand of tax by builder will depend on terms and conditions of agreement about charging of tax.
CAclubindia
