Service tax on prperty

total amount payable is outstanding ST + Interst u/s 75 + penality u/ 76.

penality is higher of :

a) 200 / day of outstanding duration

b) 2% per month.

in the case of ST on underconstrution property the interst and penality shall be calulated from the date of verdict of court.

but in any case the penality shall not be more than amount of ST i.e maximum penalty is 100% of ST.

lets wait for some more reply / views since ST on undr construton property is very confusing govt has made a mess builders are taking advantage and consumers are banging their head. 

Greetings !!

Mine is the same question regarding penalties on service tax...Pls update if any recent developement on the same.

Hi,

I also want to know the penalties if any on service tax..........

Thanks.

Hi,

I had purchased a flat in December 2011.  At that time, Service Tax rate was 2.58% whereas as of date it is 3.09%.  When I first paid 20% of Agreement Value to the builder, I paid Service Tax at the rate of 2.58% and thereafter till today I am paying Service Tax at the rate of 3.09%.  Now I got a call from builder saying your Service Tax amount is pending.  When enquired I got to know that they are asking me to pay difference of 2.58% and 3.09% on the 20% amount which I paid initially.

I want to know is it as per the law that builder wants us to pay the difference between previous and existing service tax rate?  If not then what action I can take against the builder.

Your expert advise in this regard would be highly appreciated.

Warm regards,

Shashank