28 September 2015
A ltd is make a contract with b ltd for composite supple , errection, and commisioning of good i.e. movable on various location in different states. Quary is that when b ltd issue a bill to A ltd. in following then wheather WCT applicale in all bill or in any one of them 1. Bill for only supply of good with CST as location received 2. Bill having related to only erectioning and commission of good at location completed 3 composite bill with CST and service tax.
29 September 2015
Mr C Gupta : It depends upon the type of goods supplied and the nature of contract executed.Suppose a lift is agreed to be supplied installed and commissioned it always becomes a contract.Here a lift is such goods it can not be supplied in one peice. It is carried in parts,supporting civil and electrical works to be done,the parts to be assembled,erected and commissioned.Here,it has to be works contract and that too, a composite works contract.It may be an interstate or a local WCT.Bills have to issued as per the situation.E1 and E2 sales can not be done,rates of tax of the state in which the work is done apply for local WCT and rates of the state from which the supply is originated in the case I/S WCT apply......mjk
CAclubindia
