[Resolved]  Santosh — service tax on new flat @ 3.58%

Address: Mumbai City, Maharashtra

Dear Sir,

I am Santosh Naktode from Mumbai. I have booked a flat (under construction & position on April 2011) on 16 Feb 2010 and made 15% down payment to builder. Due some resons from builder side registration was not possible upto 31 April. But now registration stated and builder demanding the amount 3.58% of agreement value which he says that it is service tax and needs to be recovered from purchaser.

Please guide me, is this amount really payable by me to builder or not? If it is to be payable by me to builder then please let us know the section/clause under which it applicable to me.

Your reply in this regard is highly appriciated.

Thanks,
Santosh Naktode.
[protected]@gmail.com
Mb: [protected]