Kamlesh (Article Assistant) (181 Points)
21 November 2013Please help with Applicability of VAT w.r.t. Buiders/Contractors/Developers. In short is vat applicable on sale of Land or Plot (Plot in case where it is well partitioned by seller and are multiple plots for sale)?
MJ Krishnamurthy
(ACCT(Retd))
(7197 Points)
Replied 21 November 2013
VAT is applicable to builders/contractors/developers with respect to material consumed in their works.Value of land and labour charges involved in the construction are exempt.No vat is payable on the residential plots sold by a developer......mjk
CAclubindia
