I bought a flat in 2006 in faridabad on construction linked plan and got possession in 2014. Builder has now come up with VAT demand @3.25% of the flat value.
-As per Govt of Haryana VAT circular, VAT is applicable from 17 May 2010. Builder had raised construction linked demands and 90% of my payments are made before May'2010. Do I need to pay VAT on this amount?
-Builder maintains that he is being asked to pay VAT/sales tax since 2007 so he will recover the same from me. Please guide if this is true.
-Builder has come up with a formula of 4.2% VAT on some inputs and 13.135% on some others. Is this correct way of caculating VAT?
-Going by the caculations, the my flats sale consideration for VAT is more than my entire flat value. Is it possible? If not, what is the appropriate platform to raise the complaint against the builder. Please advise.