AAR: Sub-contract for ‘house’ construction under Pradhan Mantri Awas Yojana, taxable at 12%

Karnataka AAR rules that sub-contract for construction of independent houses pertaining to the main contract allotted to main contractor back-to-back, is taxable at 12%; Observes that the main contract is in the nature of construction of 829 (GF) Dwelling units under the Pradhan Mantri Awas Yojana, covered under entry 3(iv) of No. 11/2017-Central Tax (Rate) dated June 28, 2017 as amended by No. 1/2018-Central Tax (Rate) dated January 25, 2018; Perusing the contract, observes ...