Work contract service

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Querist : Anonymous (Querist)

06 April 2015 what exemption available in case of work contract service?

ADITYA GOEL

ADITYA GOEL (Expert)
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06 April 2015 In case of works contract for original works construction exemption is given through abatement notification :-taxable service part would be 40% of gross amount charged.
In case of other works of repair and maintainence taxable part would be 70%.

Also service tax would be shared in ratio of 50%:50% by service provider and recipient respectively.