I am in need of urgent clarification / view from your end regarding below given issue: -
"Developers charge club Membership fees / Legal Charges and other charges from the customer @ 10.3%. But under which code service tax on above mentioned service should be given? As bcoz developers are not providing of core services related to club membership, legal consultancy etc."
Need your view on the same and any reference on the above would be of great help for me.
In actual developer is not providing this service rather they have to collect Club Charges / Legal Charges along with flat costs which is incidental to main business.
For Club Charges which developers collect from the customer is given away to the association which is formed in future to take care of the residential complex.
As far as legal charges is concerned same is collected just to get the registry done for the customer but this is the core job of the developer rather same is incidental.
I also came to know that same should be charged under the head PLC.
CAclubindia
