TMI BlogST registration - builderX X X X Extracts X X X X X X X X Extracts X X X X ..... ST registration - builder X X X X Extracts X X X X X X X X Extracts X X X X ..... decide whether a builder should take ST registration under 'construction of residential complexes' or 'work contract services? Scenario: the builder intends to construct a building containing more th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an 50 apartments. he is registered under 'work contract' as per state VAT rules. the entire construction is sub-contracted. steel, cement etc are provided by the builder. the land belongs to the build ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er and the client gets his share only after the construction is completed. under what all circumstances, the department can insist that the builder should take ST registration under 'construcion' ser ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vices? Reply By Pradeep Khatri: The Reply: The liability under service tax in the hands of the contractor would depend on the substance of the contract. If the contract is for a service i.e. involvi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng no movement of goods, then the said service contract is liable to tax under Construction Service. On the other hand, if the contract involves both material and labour, then the said contract is lia ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble to tax under Works Contract. Reply By felix ka: The Reply: from the scenario given, what do you think- construction or WC ? Reply By Pradeep Khatri: The Reply: Obviously the taxable services i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n this scenario would be Works Contract Services. X X X X Extracts X X X X X X X X Extracts X X X X
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