The reduction in Goods and Services Tax on items such as cement, steel, marble, granite blocks, which are used in construction and housing sector has been received with tepid enthusiasm by the builder community, which feels that the government should have addressed the issue of input tax credit and provided incentives to boost affordable housing.
GST Council, on June 22, may clarify that GST payable by the developer (under the hybrid annuity model) for parts of the project under construction or maintenance will become due only when the invoice is raised or when the payment is made, whichever is earlier.
The Rajasthan AAAR, in In re ION Exchange (India) Ltd., upheld the Ruling dated September 15, 2021 the AAR for Rajasthan, classifying the services provided by the Appellant under an Engineering, Procurement, and Construction (EPC) contract with M/s Vedanta Limited under SAC Heading No. 9954.
The GST department is investigating trade related to soil excavated during development of a construction site. It estimates recovery of…
The Hon’ble Kolkata High Court in M/s. Laing- Simplex JV v. Commissioner of Central Excise and Service Tax, Ranchi [Service…
The GST Council is likely to clarify that going ahead, the construction of civil structures, like bridges, roads, etc., which…
The CESTAT, Kolkata held that the assessee was not liable to pay service tax on construction services for the period before June 1, 2007. As there is a composite contract wherein supply of materials is also involved, therefore, it merits classification as works contract service, which was not in service tax net prior to June 1, 2007.
The CESTAT, Chandigarh set aside the demand confirmed by the Commissioner for Service tax on the basis of calculation sheet only. The Tribunal found that the appellants did not collect any service tax from their customers, substantiated by the absence of invoices and a certificate from their customer confirming this. Consequently, the Commissioner’s reliance on calculation sheets to establish service tax collection was considered …
The CESTAT held that, input tax paid for construction service used in relation to modernization, renovation of the existing factory is available as Cenvat credit
The AAR, West Bengal, in the case of Mindrill Systems and Solutions Pvt. Ltd. ruled that, Input Tax Credit cannot be claimed on construction of immovable property which is capitalised in the books of account.
