I am planning to buy an under construction flat by entering into agreement of sale (X) and agreement of construction (Y).
We are planning to register only agreement of sale.
Builder is charging me
- Registration charges @ 7.5% on sale deed value (X)
- Vat on total cost @ 1.25% (X + Y)
- Service tax @ 10.3% on 1/3rd value on agreement of sale (X) excluding land cost
- Service tax on Construction agreement (Y) @ 4.12%
- Labour cess @ 1% on total construction cost (X)
Is this correct ? Should I pay for both point 3 and point 4 ? What about other pioints ?
CAclubindia
