Need help with service tax

Hi,

 

I need help in knowing Service Tax and VAT rules. I purchased a flat in Pune . Date of agreement is 27-12-2010 .

My  Builder asking me to pay Service Tax now that too in cash of something around 60k .

Please advise whether i am liable to pay the service tax.

 

Agreement value is 1700500 /-

 

Regards

Sunil Takhtani

9766932781

 
Replies (4)

if completion certificate by authority is given after u hav purchased flat then builder will charge service tax otherwise not.....

Do't pay in cash because there is no such restriction in Service tax laws that you have to pay in cash only & confirm whether completion certificate had been issued after your agreement to purchase or before

Agreed with @ jeetendra

 In your case, the issuance date of occupancy certificate by authority is important.

 

 If you have purchased flats from builder after occupancy certificate issued by the authority to the builder, then there is no concept   of levying service tax.

 

 But, if you purchased the flats before the date of occupancy certificate issued, then the service tax is leviable on you by the builder 

agreed with jitendra.

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