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K. Sivanarayanan (Independent Business & Technical Consultant)     16 October 2011

Service tax collection & payment by flat promoters

No Receipt / chalan for Service Tax payment from “SIDHARTH NATURA” Apartment Promoters S N Constructions (Sidharth Housing & Foundations)
Submitted By: K. Sivanarayanan
Submitted On: September 8, 2011

Sub:  “SIDHARTH NATURA” Apartments: Service Tax collection without any challan / Receipt for the actual deposit Amount

M/s S N Constructions (Sidharth Housing & Foundations) Promoters of “Sidharth Natura” Apartments in Medavakkam, Chennai – 600100, collected SERVICE TAX along with the other regular payments as per the details given below;

Cost of the Flat:                                                               Rs 42, 78,000

Registration & other Incidental Expenses:                 Rs   3, 42,240

Corpus Fund @Rs 30/-sq.ft:                                          Rs       41,400

Maintenance for 18 months Rs 1.25/sq.ft:                   Rs       31,050

One number of Covered Car Parking:                           Rs     1, 50,000

SERVICE TAX:                                                                     Rs    1, 85,000

TOTAL AMOUNT:                                                                Rs 50, 27,859

In spite of our repeated requests, Promoter M/s S N Constructions (Sidharth Housing & Foundations) is not sharing / giving details of actual payment of SERVICE TAX in the form of Payment Challan / Receipt, against their actual deposit of Service Tax, for our verification.

From the above we are much suspicious of actual payment of service Tax from the Promoters side, against actual amount collected from the Flat Buyers(Apartment Owners)

Need your valuable suggestions & advice please



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 5 Replies

K. Sivanarayanan (Independent Business & Technical Consultant)     28 October 2011

I request the Forum to kindly give your advice and suggestions for further action from my side to find out a solution on this matter.

Arun (personal)     28 October 2011

Hi Sivanarayan,

One quick question on top of your concerns.

Did you paid any VAT (Value Added Tax) for your newly construction flat?

Thanks,

Arun G.

K. Sivanarayanan (Independent Business & Technical Consultant)     11 November 2011

VAT is paid for the purchases of materials by the Construction People under construction between self & the S N Constructions. The above cost is inclusive of VAT.

Arun (personal)     14 November 2011

I do not understand. You mean the VAT charges are included in Sales prize itself or it had mentioned exclusive in payment receipt?

shankar (self)     18 December 2011

Can you please share your email, i too have some questions to be asked

1.How can i find if the Real Estate company is registered for taking VAT taxes from Buyers?
2. The receipts which they had issued me earlier didnt had VAT number on that. and on request to they dont Provide me the VAT number, But asks me to pay VAT amount.
3.This VAT amount was NOT mentioned in my Sale Agreement ealier.
4. What is this ST(Service Tax ) and on what this is applied? I didnt had any construction Agreement done, i had only Sale Agrrement, but still am i liable to pay VAT and ST?

Its in bangalore


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