Works contract

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

09 February 2018 services supplied to the Government, a local authority or a Governmental authority by way of contracts for a road, bridge, tunnel, or terminal for road transportation for use by general public is taxable at 12% or 5% GST? and contract is not given to any sub contractor,can we take ITC?
Thanks in advance.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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09 February 2018 12% GST applicable on such works and ITC can be claimed.

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CA Pradeep Sharma

CA Pradeep Sharma (Expert)
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09 February 2018 rate will 12% whether on contract or sub contract

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Querist : Anonymous

Querist : Anonymous (Querist)

09 February 2018 Sir,can u please clarify my doubt regarding ITC. On works contract ITC is not available except in subcontract or wc relates plant and machinery.But in your answer u mentioned ITC is available.
Thank you!

CA Pradeep Sharma

CA Pradeep Sharma (Expert)
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09 February 2018 itc of wct available if u r providing same services

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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10 February 2018 ITC available on all input material and on plant and machinery used in execution of contract for both sub contractor and main contractor.