https://www.taxtmi.com/forum/issue?id=1353 Under works-contract chains where the principal supplies materials and sub-contracts work, turnover on which a subcontractor paid tax is excluded from the contractor's turnover for VAT; an entity that does not transfer goods under a works contract may not be assessable. For service tax, the same service cannot be taxed twice but cascading is addressed through Cenvat Credit; claiming abatement at multiple levels may be unfavorable while paying full tax and using Cenvat may mitigate incidence. A related issue is whether bundled freight in procurement from the unorganised sector is taxable as a Goods Transport Agency service and how to value that freight element. en-us Sat, 18 Jul 2009 12:12:46 +0530 Thu, 23 Jan 2025 15:58:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=1353 Under works-contract chains where the principal supplies materials and sub-contracts work, turnover on which a subcontractor paid tax is excluded from the contractor's turnover for VAT; an entity that does not transfer goods under a works contract may not be assessable. For service tax, the same service cannot be taxed twice but cascading is addressed through Cenvat Credit; claiming abatement at multiple levels may be unfavorable while paying full tax and using Cenvat may mitigate incidence. A related issue is whether bundled freight in procurement from the unorganised sector is taxable as a Goods Transport Agency service and how to value that freight element. Discussion-Forum VAT / Sales Tax Sat, 18 Jul 2009 12:12:46 +0530 https://www.taxtmi.com/forum/issue?id=1353