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: TAX RATES - GOODS TAXABLE @ 4% :: articles on VAT and GST in India :: VAT Audit :: VAT RATES :: empanelment :: ARTICLES ON INPUT TAX CREDIT IN VAT :: cpt :: Central Excise rule to resale the machines to a new company :: TDS :: ACCOUNTING STANDARDS :: ACCOUNTING STANDARD :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: due date for vat payment :: list of goods taxed at 4% :: form 3cd
 
 
VAT (Value Added Tax) »
 15% rise in collectionof VAT for Oct-Nov
 China to simplify tax scheme after switch to VAT
 Cabinet clears key proposals on VAT, regularisation of jobs
 Cases of VAT overcharging flood consumer forum
 State seeks relief from Centre
 Flat rate VAT changes for small businesses explained
 Cenvat Credit Of Additional Duties Of Customs [Cvd] On Imported Coal
 Excise Dept puts VAT refund on fast track
 Consumer fora receive 18 VAT plaints
 Appointment of Assistant VATO - F.3(14)/Fin(Rev-I)2012-13/DSVI/334
 Bio-diesel body seeks VAT relaxation

Clear VAT dues by end of October: Supreme Court
September, 04th 2012

Real estate companies in Maharashtra have almost turned into collection agents, as they rush to comply with a Supreme Court directive to clear value added tax dues by the end of October.

Anyone who bought a home in Maharashtra since 2006 is now being hounded by the developer of their apartment for more money, all thanks to the Supreme Court ruling last week regarding the imposition of VAT. With companies having till the 31st of October to clear their VAT dues, some had hoped that builders would negotiate with the state governments. But that is not happening. Experts say realty firms have decided to play ball because the VAT imposition is not a new ruling, only a pending legal matter, which, with the backing of the Supreme Court can not be negotiated.

Keki Mistry, vice chairman & CEO of HDFC said, This was expected because the hike came in about two-three years ago. It is just that it has been referred to a court. The court has given its decision.

A lot of properties, when the building was delivered, the VAT was collected. For example, I bought my first property recently and I have paid by VAT but of course this varies from developer to developer, Mistry further added.

Companies say most agreements have been drawn up with the provision that any additional costs must be borne by the customer. However, companies are finding it tough to collect the dues because quite a few of the homes originally sold in 2006 and thereafter have already been resold. In these cases, the companies are readying to bear the cost themselves.

Consumer forums continue to voice their objection to the imposition of vat, but the Supreme Court decision may mean their protests are in vain. But analysts are turning watchful. Real estate companies that have decided to bear the additional charge on their books will have a tough quarter. But given that most of the period between 2006 and now has been sluggish for the sector, real estate companies may not be on shaky ground.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Work Flow Workflow Software Software Automation Workflow automation Software Design Workflow Design Business Work Flow Workflow automation tools

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