taxability of following transaction under gst

[Guest]

respected sir,

please provide me taxability of following transaction under gst

a) Mr. Harish ( Builder ) buys a land and also hire a contractor named Sahil.Sahil buid building on behalf of Harish.all material + labour BILLed in the name of sahil( contractor).Harish only sale flats .

now INPUT tax credit availability to MR.Harish and MR.Sahil

b) in Same above example all material will be provided by builder ( harish).is Harish eligible to ITC on material

c) in point b) if material provide by builder, what ITC available to sahil.

c)

c)

AI Summary

GST Taxability: Contractors Get Input Tax Credit When Billing Materials; Builders Avail ITC When Providing Materials Directly. A forum participant inquired about the taxability of certain transactions under GST involving a builder and a contractor. The query involved two scenarios: one where the contractor bills materials and labor, and another where the builder provides materials. The response clarified that in the first scenario, the contractor is eligible for Input Tax Credit (ITC) as the purchase bills are in his name. In the second scenario, the builder, who provides services directly to flat buyers, can avail ITC, while the contractor pays GST for manpower services, which are not exempt from GST.