Works contrac tax

[pradeep gupta]

Dear sir,

 

Suppose one company providing service Under Works Contract.

and to whom serivce has been provided, is deducting works contract tax.

Can i claim it as credit on the payment of serivce tax or can i get the refund of the amount so deducted.

 

 

With Regards

Pradeep

[Brijesh Verma]

Works contract Tax is being deducted under the provisions of the respective State VAT law. This has nothing to do with Service Tax as of now. Hopefully, across the board credit might be available under GST but not under the present framework. U need to check under the VAT Law itself of your state.

AI Summary

Works contract tax credit not available against service tax; seek remedy under applicable state VAT law instead. The withheld levy is a works contract tax under State VAT law and is not creditable against central service tax in the current framework; recovery or credit must be sought under the applicable State VAT/works contract tax provisions, with prospective harmonisation of credits under GST noted but not operative now.