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Thursday, 28 February 2013

Notification No.2 /2013 - Service Tax dt 1st March, 2013 on abatement

(Abatement for residential unit having carpet area upto 2000 square feet or where the amount charged is less than rupees one crore made 75% and all other constructions 70%.)
The notification shall come in to force on the 1st day of March, 2013
Amendment to the notification No.26/2012-Service Tax, dated the 20th June, 2012,
In the said notification, in the TABLE, for serial number 12 and the entries relating thereto, the following serial number and the entries shall be substituted, namely:-
Description of Service
% of Taxable Value
Conditions
12. Construction of a complex, building, civil structure or a part thereof, intended for a sale to a buyer, wholly or partly except where entire consideration is received after issuance of completion certificate bythe competent authority,-

                                                                         
(i) CENVAT credit on  inputs used for providing  the taxable service has not  been taken under the  provisions of the CENVAT  Credit Rules, 2004;
(i) for residential unit having carpet area upto 2000 square feet or where the amount charged is less than rupees one crore;

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(ii) The value of land is  included in the amount
charged from the service  receiver.
(ii) for other than the (i) above.

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Existing provisions of Entry no 12 as notification No.26/2012-Service Tax, dated the 20th June, 2012
12.
Construction of a complex, building, civil structure or a part thereof, intended for a sale to a buyer, wholly or partly except where entire consideration is received after issuance of completion certificate by the competent authority
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(i) CENVAT credit on inputs used for providing the taxable service has not been taken under the provisions of the CENVAT Credit Rules, 2004.
(ii)The value of land is included in the amount charged from the service receiver.

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