Service Tax Payment

[SUNIL CHAVAN]

What is the % of contract value to be considered for Service Tax Payment on Turnkey contract?

100 %

14% service tax on 30%/40%/50%?

AI Summary

Service Tax of 14% Applies to 40% of Contract Value for Original Construction Projects in Turnkey Contracts A user inquired about the percentage of contract value subject to service tax on a turnkey contract, specifically whether 14% service tax applies to 30%, 40%, or 50% of the contract value. A respondent clarified that for construction-related projects involving original construction, the service tax should be charged at 14% on 40% of the contract value. The discussion focused on understanding the applicable service tax rate for specific types of contracts.