WCT applicablility

[Raj Malik]

We have purchased a material from a party. He(Individual) have not charged vat on the bill but the total amount is inclusive of labour charges and we are a company. will wct be applicable.

AI Summary

Clarification Sought on Works Contract Tax Applicability: Labor Charges Included, VAT Excluded; More Details Needed for Precise Answer. A company queried whether Works Contract Tax (WCT) is applicable on a purchase where the bill includes labor charges but excludes VAT. One respondent clarified that a transaction is considered a works contract if the finished product is supplied directly to a customer and not sold elsewhere, suggesting more details are needed for a precise answer. Another respondent noted that various charges are added during conversion or manufacture, indicating that further elaboration is necessary to determine service tax applicability. A third reply confirmed that state VAT is applicable, while another reiterated the need for more details.