Hi,
GST rate in both the case is 18%. However, the certain service provided under the pure labour contract is exempted.
Kindly let me know the gst on labour contract on construction of single house by contractor . is there is any difference in rate if he purchases materials on behalf of client
Hi,
GST rate in both the case is 18%. However, the certain service provided under the pure labour contract is exempted.
The rate of labour contract is 18% but if purchases the material on your name same would not be added in his bill and wont be again liable for GST or included in his labour bill.
Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.
Thank you.
THEN WHAT IS THE RELEVANCE OF NOTIFICATION NO 12/2017 DTD 28/06/2017 WHICH STATES THAT THE PURE LABOUR CONTRACT OF SINGLE RESIDENTIAL HOUSE IS EXEMPTED FROM GST .PLEASE CLARIFY WITH REFERENCE TO ABOVE NOTIFICATION
Yes. So if you taking a service for Constructing your own bunglow and all the things are purchased by you then no GST would be charged
Hello,
GST on pure labour contracts is Nil, otherwise 18%
If you also buy material on behalf of the client, it would be works contract, taxable at 18%.
I hope this answer satisfies your requirement.
Regards,
CA Hunny Badlani
Hello Sir,
As per GST Law 2017, there is no GST payable on Services by way of pure labour contracts of construction to a single residential unit otherwise than as a part of a residential complex.
So the rate of GST payable on Services by way of pure labour contracts of construction to a single residential unit otherwise than as a part of a residential complex is nil rate.