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Tax on Payment to contractors

(Querist) 09 June 2010 This query is : Resolved 
An educational trust running educational activities, constructing buildings for educational purpose. The contract of construction is given to labour contractor whose payment is more than 15 lacs for the year. is any sales tax deduction required? At what rate? what will be organisation's liability for sales tax?
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A V Vishal (Expert) 09 June 2010
Not required to deduct in case of labour contract.

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