Service Tax Query

SInce you have just received the tender for an construction, i dont think you have any service tax liability

Either you should have received any advance from them or received in full for the bill raised on them

Moreover you have unutized ser.tax.input credit for your purchases

I am not so confident senior..

If the same is commercial construction then you are liable under works contract. You have 2 choices

You can pay 4.12% on the gross amount or you can pay 10.3% on the value of the full cotract less that which is offerred for VAT. Ex. If VAt is being paid on 70% of the value then 30 x 10.3%.

 Thank you sir for your support. 

if separate bill has been raised and amount to Rs.120000 and Rs.80000............then service tax will be applicable on Rs 80000 , otherwise sevice tax will imposed on whole amount means on Rs.200000..............

PLZ. FIRST U TELL U ADOPT WICH SCEME (1) ABETMENT OR (2) COMPOSITION SCHEME

(1) IF U ADOPTED COPOSITION SCHEME, IN THAT CASE U WILL CHARGE SERVICE TAX ON GROSS AMOUNT.

(2) IF U ADOPTED ABTMENT SCHEME , IN THAT CASE U WILL CHARGE SERVICE TAX ON 33% OF GROSS AMOUNT

read notification 12/2003, which says that service tax is exempt on material if it is clearly mentioned in the invoice.