Works contarct procedure

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RAKESH kumar (Querist)
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05 August 2011 DEAR SIR,

KINLDY E-MAIL THE RETURN PROCEDURE OF WORKS CONTARCT UNDER PUNJAB VAT ACT 2005.

ALSO KINLDY E-MAIL THE ALL PROCEDURE LIKE APPLIACTION FOR TAX DEDUCTION ACCOUNT NUMBER, DEPOSIT OF WCT AMOUNT IN WORKS CONTARCT AND ITS RETURN

IF HAVE YOU HAVE SAMPLE FILES KINLDY E-MAIL AT rakesh_jalandhar47@yahoo.in

THANKS WITH REGARDS

RAKESH KUMAR

Tushar Desai

Tushar Desai (Expert)
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10 August 2011 Dear Rakesh Kumar,

WCT is applicable where the purchase of Material & Labour (both) are included in Party Bill, and your company & the party belong to the same state (say Gujarat).
WCT Rate vary from state to state.

In gujarat, it is 0.6%

In Delhi, it is 2%(not sure about any update as i am from Gujarat)

In Gujarat, If your company has given a work contract to a party, then WCT is to be imposed @ 0.6% of the value of the invoice.

There is a separate challan to pay WCT. It is to be paid in Sales Tax Authority just like VAT. You have to provide monthly Declaration to the party, & an annual certificate.

Hope, this will help you.