Menu
Can we get service tax / vat credit of labour charges / materials supplied debited by client in construction business?
We construct real estate & infrastructure projects for government & private developers. Sometimes our clients (government & private developers) supply material or incur labour charges on our behalf. They debit us for such material & labour charges. Can we take cenvat credit of tax portion on such debits? If yes, are proper debit notes enough for taking cenvat credit or proper invoices are required?
Replies (1)
Supply of material ( inputs) which are billed to you need to be included in your value. No credit for works contract is eligible as on date.
Debit notes for labour containing all in info as per rule 4A like your name andaddress, regn no of supplier, st payable etc are equal to an invoice. Credit available. Again value tobe included in the value of gross wct. Service Tax liability at 15% on 40% for original works and 70% on others.
Recent Threads
- Practice sheet in tally
- Can I use Savings Account for GST-registered freel
- FEMA QUERY : OCI Card Holder (FEMA Resident) - Pur
- ITC Inter head difference between GSTR2A and 3B
- Form 10IEA for re-entering new regime
- ITR Utility is awful
- Sale value - sale deed or AIS
- Deductions under Schedule EI
- Income under section 194R
- Schedule FA A3 csv Example
Related Threads
CAclubindia
