Unbilled Revenue - VAT - Reg

[VENKATESH AYYAGARI]

Dear Sir

Is VAT applicable on Unbilled Revenue under Works Contract?

[DR.MARIAPPAN GOVINDARAJAN]

Non issue of invoice attracts penalty. However VAT is applicable in this case.

AI Summary

VAT Applies to Unbilled Revenue in Works Contracts; Penalty for Not Issuing Invoice Confirmed. A user inquired whether VAT is applicable on unbilled revenue under a works contract. The response clarified that while failing to issue an invoice can result in a penalty, VAT is indeed applicable in such situations.