Non availment of abatement in construction service?

Anirudh Hegde (CA >> Practice) (87 Points)

03 June 2013  

In case of a Construction service if we "do not" avail abatement of 70% (In order to claim CENVAT credit on input) On what amount do we pay service tax?

1) The entire sale proceeds or,

2) Only amount related to service portion (i.e. Ignoring value of materials included)  

Is there any Circular etc to verify the matter?

Thank you.