TaxTMI 
TaxTMI 
Dear Sir,
My Client is engage in business of Construction of Commercial Complex, Sales Agreement for shops and godowns were made during the period 01-04-2015 to 30-06-2017.
Value of Land for valuation purpose for service tax can be excluded ?
Valuation of Land in Case of Commercial Complex
27 Nov 2020 
1 Reply 
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Valuation of land for service tax: inclusion depends on claiming abatement under the applicable notification.
Valuation of land for service tax depends on whether the practitioner claims the abatement under the applicable notification: if the abatement is applied to gross receipts for construction-related services, the value of land is included in the gross amount charged and forms part of the taxable base; if the abatement is not claimed, the value of land does not form part of the taxable value. See Rule 2A of the Service Tax (Determination of Value) Rules, 2006 for valuation procedures. (AI Summary)
Valuation of land for service tax depends on whether the practitioner claims the abatement under the applicable notification: if the abatement is applied to gross receipts for construction-related services, the value of land is included in the gross amount charged and forms part of the taxable base; if the abatement is not claimed, the value of land does not form part of the taxable value. See Rule 2A of the Service Tax (Determination of Value) Rules, 2006 for valuation procedures. (AI Summary)