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Work contractor1

Jyoti Narang (Kkk) (1203 Points)

29 April 2021

any work contractor is exempt or not.i.e pure labour contract for civil structure.

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7 Replies

CA. Sourav Sarkar (Chartered Accountant ) (24583 Points)
Replied 29 April 2021

Pure labour contract are not exempted from GST tax rate is 18%

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Jyoti Narang (Kkk) (1203 Points)
Replied 29 April 2021

And as per law pure labour contract for civil structure attracts nil rated duty

CA. Sourav Sarkar (Chartered Accountant ) (24583 Points)
Replied 29 April 2021

I think it attracts 18% rate. please confirm

Jyoti Narang (Kkk) (1203 Points)
Replied 29 April 2021

But as per exemption notification 12/2017, pure labour for civil structure is nil rated.plz guide me further by discussing ur near ones.its urgent....

CA. Sourav Sarkar (Chartered Accountant ) (24583 Points)
Replied 30 April 2021

Services supplied under works contract are taxed under Heading 9954 at 12%/18%. Pure Labour Services in GST: ... It should be a labour contract only. The rate of tax in case of pure labour services shall be 18%

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Lotus Agrawal (Practice) (1357 Points)
Replied 30 April 2021

Yes Jyoti. pure service is exempted as per NN 12/2017 but only when it is provided to govt. or local authority. In other cases GST shall be charged.

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Jyoti Narang (Kkk) (1203 Points)
Replied 08 May 2021

Yes lotus choudhary. it is provided to govt and amt is below 250000 of all the contracts and in work order there is no gst charges mentioned only 1% income tax and 1% labour cess is mentioned in all the work contracts and it is water service division haryana contract.