VAT APPLICABILITY ON WEBDEVELOPMENT AND DESIGN

[Tojo Thomas]

WHETHER VAT IS APPLICABLE ON WEB DEVELOPMENT / WEB DESIGNING?

[CA SOHRABH JINDAL]

No, it is in the nature of service contract. hence no VAT should be leviable.

AI Summary

Service contract: web development and web design treated as services, so value-added tax is not leviable. Web development and web designing are in the nature of a service contract and therefore VAT is not leviable; such activities should be classified and taxed as services rather than under VAT/CST regimes applicable to goods.