% of Service Tax on Works Contract?

sir,

•  Service tax % for all the taxable services is 12.36%.

 As per the  valuation rules 

• Assessible value for works contract = Gross amount charged for the works less value of property in goods involved in the execution of WC i.e. bill amount - materials.
• gross amount charged  shall exclude VAT/ST on the goods transferred.
• gross amount charged  shall  include

1.       labour charges

2.       labour payment to subcontractors

3.       Charges for planning ,designing,and architect`s fees

4.       hire charges for machinery and tools

5.       cost of consumableslike electricity

6.       cost of establishment relatable to labour and services

7.       other similar expenses relatable to labour and service.

•       Service tax  or cenvat credit ,if any, can be availed

U cannot  take  wc credit for paying service tax.

first tell me whether  u are complying the Composite Scheme of Work Contract or Simple Scheme.

The Rate are differ in both the cases...

The service tax options available for you are:

1) Value offerred for VAT regular scheme can be deducted. Assume 100 is total value, offerred for VAT 70 then on 30 ST has to be paid @ 12.36%

2) Composition option - 4.12% on total value Rs.4.12.

sir.

do we get service tax paid on constrction contract as cenvat credit..

case: i gave contract to my civil contractor for constructing my factory. he will purchase all the material and do all the contrction. At what percentage he should raise bill for service tax and on what amount.. Can  the service tax which i  pay to him is allowwed as cenvat credit? my  product is excisable good.

pls help me in this query.

ya it is 12.36%

sir

please know me about the journal entry required for the service tax i.e. what the steos require for the service tax

thanking you.

The options are 2 under WC - Service tax

1) ST to be paid on the balance of the value of turnover offerred for VAT @ 12.36%.

2) Alternatively 4.12% under composition for which an option letter to be sent to dept.

1) Under both the options, cenvat on input services is available. 
2) Under both the options, if the gross amount charged is inclusive of VAT paid, same should be excluded for arriving at the value of taxable service.  Here VAT paid should be remembered as output VAT (WCT) net of ITC but not VAT TDS.
3) Another thing is there is no provision in the notification no.32/2007-ST that the option so exercised should be intimated to the department.  It is only mandatory to choose the option before making service tax payment.   Obviously, no need to inform.  However, it may be wise to intimate.