Service tax applicability on sale of flats

[Guest]

We have constructed a residential complex consisting of more than 12 units after 16/6/05. All material was directly procured by us & labour also engaged directly. We hired various sub contractors for finishing work. Plz clarify whether service tax is payable on sale of such flats or earlier.

AI Summary

Debate on Service Tax Applicability for Flats Built Post-June 2005 with Direct Procurement and Subcontractor Involvement A discussion on the applicability of service tax on the sale of flats constructed after June 16, 2005, with materials and labor directly procured, and subcontractors hired for finishing work. One respondent highlights the need to determine the capacity in which the party is engaged in the activity, referencing a letter and a court case that suggest taxability should be assessed individually. Another respondent states that service tax is not applicable to the contractee, only stamp duty is relevant for the sale of the house.