Sid, Mumbai
Q: I bought a flat in Malad in Jan 2010. I understand that the service tax issue has been setlled at Post July 2010 @ 2.5%. What about Vat? Pre April 2010 it was 5% and after that 1%..but there wa s a stay on this. What is the position now? Any news? The builder is forcing us to put the amount in an Fd or wont give us possession.

My replies to this discussion
This is not what we are talking about Mr Khanna. The vat on flats is different . In any case if this too has to be calculated then it will not be from retrospect but new flat agreements. My agreement was dated jan 2010 and the rate applicable as Ashish pointed out was 1%... which is what the builder is demanding from us..even though this is not entitled to be paid by us but is a vat on the builder. But Both ST and vat the burden is being put on buyers. If anyone has any further information please oblige. ThanksThis is not what we are talking about Mr Khanna. The vat on flats is different . In any case if this too has to be calculated then it will not be from retrospect but new flat agreements. My agreement was dated jan 2010 and the rate applicable as Ashish pointed out was 1%... which is what the builder is demanding from us..even though this is not entitled to be paid by us but is a vat on the builder. But Both ST and vat the burden is being put on buyers. If anyone has any further information please oblige. Thanks
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