Hi Friends,
Need your help in calculating VAT, ST and Reg on the below details with explanation as what are all the things to consider while calculating different taxes.
The Flat is G+3 and it comes under Grampanchyat. It is located in Bangalore, Ananthnagar phase-2.
Flat Area: 895 Sq Ft
Price per Sq Ft: 2150
Basic Cost: 1924250
Car Parking: 150000
KPTCL/BWSSB: 100000
Power Backup: 50000
Awaiting your responses.
Thank you very much in advance
Regards,
Manju
Mr Manjunath,
You have not mentioned whether any other amounts of amenities are included in the basic cost. However, going by your figures the items such as powerback up and deposit of BWSSB and KPTCL are not taxable. If the carpark is in a shade/shelter,then that area can also be taken for tax computation. Otherwise only the basic cost is taken and VAT is calculated as follows :
Basic cost Rs19,24,250
Less 40% land cost :Rs7,69,700-00
Construction cost : Rs11,54,550-00 If under composiiton scheme VAT can be collected @ 4% on this sum. i.e. Rs46,182-00. Or Under normal scheme deduct 30% towards labour from construction cost to get the material cost i.e. Rs 8,08,185-00(11,54,550-3,46,365). On this amount VAT is to be collected @ 14.5% . Then VAT chargeable is Rs1,17,187-00. ST is to be collected @ 12.36% on 40% of construction cost i.e. 12.36%x4,61,820-00= 57,081-00........MJK
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
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