GST on Works Contract

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..... GST on Works Contract
Query (Issue) Started By: - Dlip Choudhary Dated:- 30-7-2019 Last Reply Date:- 30-7-2019 Goods and Services Tax - GST
Got 4 Replies
GST
GST Law mentions that input tax credit is not available for- "works contracts services when supplied for construction of immovable property, other than plant and machinery, except where it is an input service for further su .....

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..... pply of works contract service" Experts view needed on the second part viz.... " except where....supply of works contract service" Reply By MUKUND THAKKAR: The Reply: "Works Contract" in terms of Section 2(119) means a contract for building, construction, fabrication, completion, erection, installation, fitting out, improvement, modification, repair, maintenance, renovation, alt .....

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..... eration or commissioning of any immovable property wherein transfer of property in goods (whether as goods or in some other form) is involved in the execution of such contract; except where it is an input service for further supply of works contract service means your activity is also providing the works contaract services than you are eligible to take ITC. other wise not. Reply By KASTURI SET .....

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..... HI: The Reply: I concur with the views of Sh.Mukund Thakkar, Sir. Reply By KASTURI SETHI: The Reply: Sh.Mukund Thakkar Ji, Sir, Here is one example of sub-contractor. Sub-contractor will charge GST from main-contractor for supplying WCS and main contractor will avail ITC and utilize the same for supplying the same service i.e. activities mentioned in the definition of Works Contract Service. .....

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..... Do you agree ? Reply By Ganeshan Kalyani: The Reply: A person is supplying works contract service and providing that service he is availing works contract service. Then the tax charge in inward works contract service is eligible for him to take credit. He can offset against the tax payable on outward works contract service.
Discussion Forum - Knowledge Sharing .....

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