While discussing on service tax (30a- section65)"construction of complex" - it was mentioned that service tax is applicable only on "contract of construction". Can I get a link to reference document from tax dept where it is clearly mentioned ? Where are the "taxable services" defined. At ttp://www.servicetax.gov.in/ no-where word "contract" was mentioned. I remeber that there is petion filed by Builders Association -has court provided decision on that ?
2007-03-27 23:55:47 · 2 answers · asked by Pramod 1 in Business & Finance ➔ Taxes ➔ India
Service is taxable only when A is providing service to B.
When a Builder is constructing on his own; no service is being provided to any one.Therefore, there is no liability to pay service tax.
Thus only when the Builder gives a contract of construction to a Contractor; it will be liable to service tax on 33 % of contract value.
2007-03-28 13:29:54 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Consult a Lawyer.
2007-03-28 02:53:29 · answer #2 · answered by AVANISH JI 5 · 0⤊ 0⤋