15 August 2011
Works Contract Tax is basically VAT. It is applicable to every dealer and there is no exemption to proprietor. It is a tax on transfer/sale of goods during the course of execution of Works Contract.
For example construction of Building. The various materials like bricks, cement, steel rods gets transfered to the employer albeit in a different form. WCT is a tax on these transfers treating them as deemed sales of goods.
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