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What will be the treatment in case of ongoing Works contracts, where Price is inclusive of Tax?

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What will be the treatment in case of ongoing Works contracts, where Price is inclusive of Tax?
posted Dec 27, 2017 by Ritika Sharma

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In this case the price quoted by Service Provider will be inclusive of Service Tax and CST/VAT. After appointment date, Service Provider has to issue Invoice under GST regime.
In this case, Assessable value will be the higher of the following;
a) Reverse calculation by taking effect of VAT or CST and Service Tax
b) Deducting the amount of minimum Cenvat Credit and other statutory levies as appeared in BOQ from price excluding VAT/CST/ Service Tax
c) Deducting the minimum amount of Cenvat Credit and other statutory levies as agreed by supplier price excluding VAT/CST/ Service Tax Final Price will be computed after charging CGST and SGST or IGST.

answer Dec 28, 2017 by Ankitha
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