Question34:

 

building contractor constructs a single resi. house purely on labour basis NO MATERIAL USED BY CONTRACTOR ,in that case whether gst liability will arise? contractor is gst registered person

 

Answer

 

Service by way of pure labour service pertaining to single residential unit is Exempted vide S.no. 11 of Notification No. 12/2017- Central Tax (Rate) which is reproduced below:-

 

S.no Chapter, Section ,Heading, Group or service code Tariff Description of Services Rate 
(per cent.)		 Condition
11 Heading 9954 Services by way of pure labour contracts of construction, erection, commissioning, or installation of original works pertaining to a single residential unit otherwise than as a part of a residential complex. Nil Nil

(Reply dt. 12/4/2018)