Wct in maharashtra

 Mr Ankit Garg,

Transfer of property involved in works contract is taxable. Toarrive at this value you have to deduct value of labour and establishment (works site) expenses(with its profit) and the balance will be the taxable amount.This includes the material cost +profit on it.If your GP is 10% add that much to  the purchase price of all the goods used in the contract and calculate the tax at the rates applicable.Here you can take set off of the input tax paid on purchases except interstate purchases.

  You can also opt for composition of tax which is 5% for construction works and 8% for other contracts.

  MJK

Originally posted by : Ankit Garg
	Please guide me about the procedure of works contract tax in maharashtra, and what are the rates currently preveleged in respect of Work Contract Tax?

Thank you MJ sir.