Latest Answer: Hi Prakash, VAT and service Tax is applicable only for under construction property. If the property has already got Occupancy Certificate or it is a completed property than VAT as well as Service Tax is not applicable. When you buy from the builder you get 1.undivided share of land and 2. the flat The VAT and Service Tax (As on Jan 2013 ...Service Tax @ 12% on 25% of BASIC Price ( if Land Cost is included ) otherwise 12.36% on 33% of Basic Sale price ) need to be paid on the flat and not on land. Make sure you get a TAX invoice for all tax payments made and if builder is not giving you the TAX invoice then dont give these amount.....rest of the things as PLC+EDC+IDC + AMMENITIES are charged at 12.36% ....BUT Parking cannot be charged for service tax because as per SC decision Parking slot is not an extra service but the part of construction itself.