Vat Applicable & not Applicable for Builder or Developers as per Guj.Vat Notice

[Rajendra Mistry]

Dear Sir,

My Query is Gujarat Vat Applicable or not Applicable as Per Gujarat Vat Notice for below Business.

Guj. Vat Notice No :-	GUJ/VAT/BUDGET/14-15/162/140
Notice Discription :-	Composition Scheme Vat Applicable 0.60% for all Builders and Developers
Notice Applicable :-	Notice Applicable from -1/4/2006 to till Date Transaction
Our Company :-	Real Estate Company
Our Business :-	Land and Construction Material Purchase by us
	Note : Construction Activity assign to other Party
Our Sales :-	1. Many Flat Sales is before BUC (Business Utility Certificate)
	2. Many Flat Sales is after BUC
Note : My Question is Vat Applicable or Not Applicable for Above Transaction

Regards,

Rajendra Mistry

[DR.MARIAPPAN GOVINDARAJAN]

Whether you have got clarified in the above issue? If not please inform.

AI Summary

Gujarat VAT composition scheme applicability for builders and developers-questions on sales timing and subcontracted construction. Whether the Gujarat VAT composition regime applies to a real estate company acting as a builder/developer is queried, invoking the Gujarat VAT notice prescribing a composition levy applicable to builders and developers from April 2006. The core questions concern tax treatment of flat sales made before and after issuance of a Business Utility Certificate, the effect of assigning construction activity to another party, and the VAT treatment of land and construction material purchases by the developer.