Service tax on property under construction , Service Tax

[M. R. Nadkarni]

Bombay High Court has issued stay order on the subject. What are the duties and responsibilities of the builder with respect to payment of service tax collected.

Posts / Replies

[Surender Gupta]

Generally stay order is issued to the applicant / petitioner of the case. If you like to take the advantage of the stay order in other case, you may submit a petition before the high court referring to earlier decision and get the stay in your favor also. Regarding correction and recovery, the stay order is not a final decision and you should go cautiously that in case the final decision is against the assessee, it is difficult to recover the amount of service tax from the client. Therefore, decision is based on case to case basis.