18 March 2013
I have purchased flat in Pune,Maharashtra. Agreement date is 27/07/2010. Can you please tell me applicable rate of VAT on the agreement value? How can I get information regarding this from sales tax department?
20 March 2013
Mr Prasad, I have already answered many queries on this vital issue.Amounts charged by the builders for an apartment include (1) value of land(30%) cost of amenities,like a clubhouse,swimming pool,security,children's paly ground, sports facility,a park etc (3)construction cost (4) charges payable to govt and statutory bodies like,MSEB,waterboard,for registration,etc.You should get the break up of the total amount quoted for you. The charges of sl.nos 1,2,and 4 are not taxable.On the construction cost it is 5% under composition scheme or on 70% of it 12.5%.Service tax is payable @12.36% on 40% 0f the cost of construction. They should issue inoices for collecting these taxes.....mjk
CAclubindia
