CLASSIFICATION OF SERVICE

[hubert fernandes]

Whether any charges colected by builder for changes as requirwd by the purchaser of flat would be taxable under complex construction service or under preferential location

[Surender Gupta]

IF such an activity is qualifying the requirement of "preferential location" under service tax, the answer is yes, the same would be liable to service tax.

AI Summary

Preferential location charges taxable when purchaser-requested flat modifications meet preferential location criteria under service tax regime.
Additional charges collected by a builder for purchaser-requested flat alterations are taxable if the alterations satisfy the statutory criteria for preferential location; if so, such charges are liable to service tax rather than treated differently as complex construction service.