Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: articles on VAT and GST in India :: Central Excise rule to resale the machines to a new company :: list of goods taxed at 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: empanelment :: ACCOUNTING STANDARDS :: due date for vat payment :: VAT Audit :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: form 3cd :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES :: TDS :: ACCOUNTING STANDARD :: cpt
 
 
« Service Tax »
 Rules not ready, key e-way bill for GST may be delayed, says top official
 How Goods and Service tax will benefit the nation
 GST implementation may increase expense ratio of fund houses
 GST structure: an unfortunate compromise
 Extension Of Provisional Attachment Under Service Tax Provisins
 How favourable will GST be for Karnataka?
 GST rate impact: Here’s how the new tax can carry a greater punch
 E-way Bill - movement of goods under GST
 How the GST rates will affect your money
 GST: The coming disruption in the wholesale trade
  Ways In Which GST Will Impact The Average Indian’s Wallet

Exempted from Service Tax
April, 14th 2009

A recent clarification from the Central Board of Excise and Customs (CBEC) has come as a relief for home buyers in the South as they will now be exempted from service tax. Buyers of residential units were subject to a service tax of 12% on the construction since June 1, 2005.

Builders in Mumbai and Delhi have not collected service tax but in most urban centers, especially in Tamil Nadu, Karnataka, and Kerala, the builders have factored in the service tax along with the apartment costs.

Confusion over the issue of whether service tax covered a deal between the buyers and the developers had been causing a lot of distress among the builders, and, in the absence of any clarification, the common man had been paying the service tax. However, CBECs clarification now clearly states that home buyers are not covered under the service tax on construction. The clarification also comes as a relief for the developers who have been looking at various options to keep costs down to rejuvenate the market.

The customers are now increasingly refusing to reimburse the service tax and the officials are insisting that the service tax is payable. This has put the developers in a difficult position. Buyers in Tamil Nadu would have to file the refund applications and the developers would have to look at ways to facilitate refunds.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Customer relationship management software CRM software Operational CRM Collaborative CRM

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions