05 September 2013
i want know for Flat purchase service tax for higher abatement (25%) is charged on Built Area or carpet Area for above purchase of 2000 Sq ft.
05 September 2013
Dear Sujeet As per notification 09/2013- all the following conditions should be satisfied for claming higher abatement(i.e. 25% taxable)--- 1) it should be a residential property;and 2) carpet area less than 2000 sq ft.;and 3) amount charged is less than Rs. 1 crores.
If any of the above condition is not satisfied,then abatement of 70%(i.e. 30% taxable) shall be available.
It should be noted that super built up area is irrelevant for service tax....what is relevant is carpet area only.
CAclubindia
