Land Exemption Under ( Civil Works Contract)Composition Scheme Karnataka VAT Act 2003

Greetings!!!!!!
I want to Know that whether Land Consideration will Attract Composition Tax on Sale of Under construction Flat with Undivided share of Land Under Composition Scheme of Karnataka VAT Act

Note: The Builder And Landlord have made Joint Development Agreement

I want to know that tax is levied on Whole Consideration Amount @ rate of 4% or after the land exemption or only on Construction Cost Under Joint Development Agreement

Please Give Opinion

Thanking You.

VINAYAK

 

Sir, VAT Act differs from state to state. For absolutely accurate answer I suggest you kindly discuss the matter with CA or other tax professional in your locality.

[Generally in composition scheme, the rate is much lower and the ENTIRE consideration is chargeable to tax.]