Payment of Service Tax

Location/place: Bangalore

Name of company/service: Adithya Constructions

The Service tax computation given to us by the builders is as follows

Flat Value : 50.25 Lacs
Less Vat : 2.3 Lcas
Total value : 47.95 Lacs
Abatement : 75 %
Amount for Service tax calculation : 12 Lacs
Service tax @ 12.6 % = 1.24 Lacs

3. Prior to 1st July 2012 – above value of 1.24 Lacs was payable as service tax by us.

4. However after July 2012 – Cenvat credit has been made available to Builders / promoters for
New Flats sale. REFER
Notification 26072012- service tax.

However builder is not giving us any benefit cenvat credit to be availed by them and charging full amount from us.


Comments

Leave a Reply

Your email address will not be published. Required fields are marked *