hii! works contract consists of 3 kinds of taxable activities as per current law.it involves supply of goods as well as supply of services. if a new product is created during works contract, then such manufacture becomes a taxable event. currently, under GST works contract will be treated as service nd tax would b charged accordingly.
Works Contract Tax was deducted just like TDS but only on Construction Contracts under previous Tax Regime where there was a doubt over supply of goods & supply of services. Now since all the works contract are treated as Supply of Service, then there is nothing to doubt and hence GST will be charged accordingly. Hence I think there will be no involvement of WCT under GST. Am I right???
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