Q:Godrej prokriti will not provide any service tax receipt against my recent purchase at Vindhachal 201 number flat. I urged so many time to give service tax receipt , but the declined to provide. The total money has been grabbed in the name of Service tax.
Latest Answer: If you purchased a ready-to-move flat and building has received Occupancy Certificate, no service tax/VAT is applicable. He has pocketed your money towards Service Tax and VAT. Consult a lawyer and take a legal action against the builder.
Q:i have booked flat in March 16 with 20 % booking amount, now builder has received OC, he is asking for rest payment in 15 days, otherwise he will charge interest,, is this right?? secondly do i need to pay service tax and VAT,, as builder received OC and sales agreement not yet to signed but it is their mentioned in allotment letter.
Latest Answer: And remember, Since VAT is a state subject, various states have their own laws for levying VAT. To overcome the difficulty in ascertaining the exact cost of materials in the agreement amount, states like Maharashtra provide for the payment of VAT on the entire value of the agreement, under a ‘composition scheme’. In Maharashtra, the rate of VAT under this composition scheme, is 1% of the total agreement value.
Q:plot is 50 ft x 33 ft. duplex : ground floor 881 sq ft, FF is 818 sq ft. Except land the agreement is 39.95 lakhs for construction including materials. The plot is registered in my name separately but its under a housing complex. builder asking me service tax on whole amount. first the tax rate was 3.62%, then they charge 4.5% & now its 6%. I am confused, while many places its written for a single independent house for a family its tax exempted. So, can you pls guide me, service tax should be charged or not ?
Latest Answer: Hi,
Here i am giving you an example that how to calculate service tax. As we all know that last year govt has added two more type of taxes such as Swachh Bharat Cess-0.5% w.e.f from 15/11/20115 and Krishi Kalyan Cess-0.5% w.e.f. from 01/06/2016. So, total Service tax rate will be -15%.
Suppose Mr. A provided taxable service worth Rs.400000 to Mr. B service tax rate is 15% but abatement available is 70%
So we will calculate service tax payable by following method:
Value of service provided = 400000
Value after availing abatement = 400000-70%=120000
service tax payable = 120000*15%=18000
Q:i' ve purchase new house in Vadodara , builder collect service tax from me but when i asked for receipt he said individual receipt will not be availablePlease sugfest on this
Latest Answer: So you mean that from now the effective rate on the entire value of a property costing below Rs.1 crore is 3.75% (i.e., 15% * 25% of the property value), and for a property above Rs.1 crore, the effective rate is 4.5% (15% * 30% of the property value). Accordingly, if you are buying a property costing Rs.75 lakh, you will have to pay Rs.2.81 lakh (3.75% of Rs.75 lakh) as service tax. Similarly, if the value of the property is Rs.1.5 crore, service tax would be Rs. 6.75 lakh (4.5% of Rs.1.5 crore). Am i right friend?
Q:When i purchased the flat in Guwahati in October 2015, the building was ready to move. the builder asked for ST and VAT money and i paid. But builder has not given me any challan yet. Also on similar note, I asked yesterday for the project completion certificate (as i know that after project completion certificate is issued, we dont need to pay ST) , he said they have applied for Completion certificate. How can they apply for it now one year residents started moving in? Did they builder play a foul game? What is the possibility? What should i do?
Latest Answer: Hi folks!!
VAT and Service Tax are not applicable for “Constructed Property”. It is only applicable for under construction flat. Secondly, VAT may vary from state to state as it is state subject but service tax is uniform across country i.e. 15% as it is fixed by Govt of India from !st June 2016.
Latest Answer: It will be a great move if such happens. Also stamp duty is not proposed to be incorporated under GST and will thus continue to remain as it is at present. So, decreased cost of construction will take place once a lower bracket of GST is applied as the developers will be liable to pay much less than today, thus allowing cost of units to fall which will directly benefit the end users.
Latest Answer: So Service Tax @14% on total 25% of the Total Purchase Price is levied on Under Construction Property. In other words Service Tax @3.50% (25% of 14%) is levied on the total price paid for the purchase of an under construction property.
Q:Hi,I own a flat in the W tower that was promised possession in Dec 2013.. Its running too late and now Amrapali is bombarding us with messages to prepay to avoid increase in service tax. This is ridiculous.. we will need to pay additional service tax because the builder delayed the project. This is unjustified. The builder needs to pay the penalty as well as the additional service tax they are demanding now.
Latest Answer: Hi,I also own a flat in the W tower that was promised possession in October 2013.But I am still awaiting the possession of the flat from this cheater Group.
Jay Prakash Singh
Q:The affordable housing sector was expecting that the Modi govt, like last time, would extend some support to it and solve the difficulties. But hopeless result.
Latest Answer: Good evening friends,
It is really a good news as it will increasing the standards of living by giving proper homes and subsidised interest rates to EWS and LIG groups will not only aid in fulfilment of their social needs but also help everybody associated with the real estate sector. We are happy with this decision and welcome it wholeheartedly.
Latest Answer: Hi,
Builders and property investors however hailed further obligation inspirations on Real Estate Investment Trust (REITs). The organization had formally displayed gauges for REITs a year prior, yet it couldn't make much propel pending clarity on evaluation related matters. Through the Budget, the Finance Minister has watched out for this issue. Experience rental pay and legitimization of capital builds organization for supporters will help REITs.
