Tuesday, May 4, 2010

Now, 10 per cent service tax on 25 per cent of the value of the built property, including the cost of land!

In a relief to the realty sector and home buyers, finance minister Pranab Mukherjee on Thursday announced tax concessions to the construction sector, which was brought under the ambit of service tax in this year's budget.

With the announcement, service tax would be levied on 25 per cent of the gross sale value of property compared to 33 per cent proposed in the budget in February this year.

Replying to the debate on Finance Bill in the Lok Sabha, the finance minister said he proposed to ``provide the tax relief to the construction sector by enhancing their rate of abatement from 67 per cent to 75 per cent of the gross value, where such value includes the value of the land constructed upon," he said replying to the debate on Finance Bill in Lok Sabha.
To read more, please, visit Realty sector gets 8% tax relief