Revised guidelines relating to works contract under GST

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..... additional amount towards GST in respect of the works put to tender prior to 01.07.2017 but executed either partly or wholly after 01.07 2017. On careful consideration of the representation of the contractors visa-vis existing guidelines issued in the matter, Government have been pleased to issue following revised guidelines in supersession of the guidelines issued vide Finance Department letter dated 07.12.2017: 1. The Goods and Services Tax (GST) has come into force w.e.f. 1st July, 2017 by subsuming various indirect taxes such as Excise Duty, VAT, CST, Entry Tax, Service Tax etc. Works contract is treated as composite supply of service under GST and are taxable Q 18 0 0, 12% or 5% depending on the nature of works contract. In order to .....

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..... cidences of VAT, Entry Tax, Excise Duty, Service Tax, etc. from the estimated Price/Quoted Price.) (iii) The revised estimated work value for the Balance Work shall then be enhanced or reduced in the same proportion as that of the tender premium/discount. (iv) Finally, the applicable GST rate (5%, 12% or 18% as the case may be) is to be added on the revised estimated work value for the Balance Work to arrive at the GST-inclusive work value for the Balance Work. (v) A model format for calculation of the GST-inclusive work value for the Balance Work is attached as Annexure. The competent authority responsible for making payment to the works contractor will determine GST inclusive work value for the Balance Work for which agreement execu .....

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..... 014 1. As per Original Agreement (i) Name of the works___________ (ii) Agreement No./Work Order with date _________ (iii) Name of the Contractor/Firm executing the works__________________ (iv) Total value of work: Rs. (v) Value of work completed upto 30/06/2017 : Rs. (vi) Value of balance value of work executed after 30/06/2017 (iv-v): Rs. 2. Determination of value for balance work Sl No Item of Balance Works Unit Quantity Item wise Unit Rate as per Revised SoR - 2014 Value as per Revised SoR - 2014 (in Rs.) 1 2 3 4 5 6 i Earth work ii RCC……. iii Brick work……. iv v vi vii vii viii 3. Total revised estimated value for balance work: 4. Proportionately Add/Subtract as per .....

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