TaxTMI 
TaxTMI 
Dear sir please let me understand what is the status of a builder who is selling the flats in apartment. is there any exemption ( earlier I know that if no of flats does not exceed 12 no service tax is applicable)
with regards
BUILDER OF APARTMENT
04 Dec 2015 
5 Replies 
2054 Views Asked by
Service tax liability on apartment sales arises when consideration precedes completion certificate; tax applies after abatement.
Service tax is chargeable on a builder's sale of flats where consideration is received prior to issuance of the completion certificate; the residential exemption is limited to a single residential house and does not apply to builders. Tax is levied on the post-abatement portion of the contract value for such sales. (AI Summary)
Service tax is chargeable on a builder's sale of flats where consideration is received prior to issuance of the completion certificate; the residential exemption is limited to a single residential house and does not apply to builders. Tax is levied on the post-abatement portion of the contract value for such sales. (AI Summary)