Q:Hi, I am planning to buy a Prestige Construction Property which will cost me 92 Lakhs + Other Charges whose total cost is Approx 102 Lakhs + Registration. Have the info that cost of lad is 2500 INR per square feet.Can you pls tell me how much is the value of VAT & Service Charge separately ?THANKS
Q:Hi I am planning to buy a property and have couple of queries regarding that-1. Is the property worth?2. How is the locality and what are its chances of development in future?3. How much is the registration, service tax and vat % and how is it calculated?4. Builder is promising OC, but we get OC once construction is complete,how to check if he is telling truth or not?If any one has bought any flat in this project, please let me know, want to discuss more.Kindly help me if you know any of the answers.Thanks Neetu
Latest Answer: Hi Neetu there is no other way to check if the builder is saying the truth or not because occupancy certificate is processed at the time when the Palike gets information that the construction has been completed.
Latest Answer: If a builder chooses the first option then he would have to pay Rs 4 crore for a project of Rs 100 crore. The amount of the project would be calculated on the basis of turnover of the builder from selling flats or houses.
Q:Dear Sirs,Suppose I sell a residential flat in 2013 for Rs 1.62 cr approx. (going market rate) which was purchased in 1985 - 1986 for Rs 2.55 lacs:1) What is the VAT / Service tax / TDS tax / any other tax me / buyer will have to bear / pay (if any)? It seems some new rule is come into effect from June 01, 2013 regarding service tax. I request clarification.2) What is the long term capital gain tax I have to pay on sale of the flat?Likewise, if I invest the proceeds of sale in part or full in purchase of residential flat (new / resale) what will be my tax outgo (VAT / Service tax / TDS tax etc)Thanks,Shivakumar R Sharmaemail:shivakumar_sharma@yahoo.co.in
Latest Answer: i all,
To give buyers relief, the government has allowed income tax deductions if the property is bought on a loan. Under Section 80C, the borrower can claim deduction of up to Rs 1.5 lakh. For a self-occupied property, a Rs 2 lakh benefit is available under Section 24 (b) of the Income Tax Act for interest on the home loan. If the property is not self-occupied, the entire interest paid to the lender can be deducted from income.
Q:Is this correct that all the buyers who bought under construction property between Jun 2006 to March 2010, will have to pay 5% VAT on agreement value plus an interest of 15% per annum?
Latest Answer: Thing to remember while you are buying property:- 1) VAT and Service Tax are not applicable on ready-to-move-in properties. For instance, if you have bought a property when it is almost ready-for possession, you must consider to postpone your sale agreement to be signed after completion certificate is issued. If you do so, then you will be saved from paying these charges.
2)Builder has to issue 2 separate payment receipts i.e. one each for VAT (with Tax Invoice no and TIN) and Service Tax (with Tax Invoice No and ST registration no).
3) Service Tax is not applicable on single residential unit i.e. independent house, villa or bungalow.
4) Service Tax is not applicable for low cost housing with carpet area of up to 60 sq-mt.
Q:Hi,
I have bought a new property and i want information about the taxes that are applicable.
1) Registration Charge: Land Deed + Agreement of construction
2) VAT(1.25%):
3) Service Tax(3.09%):
Can you please let me know on what amount will the above three be charged? The builder is charging on the total sales amount but I am not sure if that is correct.. Please guide me to the right government forum from where I can get the information..
Latest Answer: Hi all,
It would be great if you can give specific details, about the builder and the project name.
While you ask for people's help, it would help all the other people here now and in future, so that they can be cautious while dealing with such builder.
Commonfloor forum is about sharing knowledge and helping others, no one is getting paid here for writing helpful posts for various queries posted here everyday. So do your bit in helping others as well.
Q:Hi,I have booked an apartment in Electronic city, Bangalore. The flat is under construction and will be available for possession during feb 2013. The builder has given us the cost break up which has Rs.2,62,000.00 as service tax and VAT on the property which cost Rs.32Lakhs (basic cost + car parking). Kindly clarify me, what is the calculation for service tax and vat? Also pls clarify me what is the need for two separate agreement, say sale agreement and construction agreement? Now my builder is telling me that he will be giving me only one agreement. Kindly advice me on this.your clarification will be much helpful for me.Kindly help me.ThanksRona
Q:Hi I have purchased the flat for 28lakhs ( 24lakhs + 4 lakhs eminties/ club house/ parking ) I have question regarding registration cost + Vat + Service tax Can you please tell me how much expediture I will incurr Officals @ Vasathi are calculating @ actuals 28lkhs all the registration + VAT+ Service so total amount is coming down to 3.4 lkhs .Is there ay way to lower the cost. Please help me in this regard.Thanks in Advance
Latest Answer: Service Tax Chart for Financial Year 2016-17 will be:- Service Tax Basic Rate-14%
Swachh Bharat Cess-0.5% w.e.f.15.11.2015,
Krishi Kalyan Cess-0.5% w.e.f. 01.06.2016
So total Service Tax Rate will be-15%
