dear friends,
we have installed a auto-lpg dispensing station (lpg pump for vehicles). The work was executed by a contractor on a turn-key basis. He has issued us a consolidated bill mentioning it in the invoice as " providing auto-lpg dispensing facility" for a value of Rs. 35,00,000/- + VAT.
The contractor has caused the entry of some machines like LPG pump, LPG unloading pump, air compressor and dispensing machine and used them in the execution of contract ( installed at our site and included in the invoice value) costing around Rs. 11,00,000/-.
Is there a liability on our part for entry tax? or is the liability is on the contractor ?. Some say that the WC is not a sale but a deemed sale. hence we are not liable. there is no bill drawn on us which mentions the machinery seperately. Experts please advise.
thanks
vasanth shanker
CAclubindia
