Labour Cess

[Saurabh Patel]

Please let me know the labour cess deducted on 1% Basic Amount or 1% of Gross (Inclusive GST Amount)

Ex My Invoice Basic Balue is 100000+ GST is Rs:- 18000, Gross Value is 118000.

Labour Cess deducted from my invoice is 1000 or 1180.

AI Summary

Clarifying Labor Cess Deduction: Should It Be From Basic Amount or Gross Amount Including GST? A user inquired whether the labor cess should be deducted from the basic amount or the gross amount, including GST, using an invoice example with a basic value of 100,000 and a gross value of 118,000. Two responses were provided. One stated that labor cess is levied on the cost of construction, suggesting it can be found online. The other questioned the purpose of labor cess recovery, indicating a broader discussion on its application and rationale.