Deduction for charges towards labour, service and other like charges.

30. (1) A dealer who is liable to pay tax under section 14, may, for the purpose of determining his taxable contractual transfer price on which tax is payable under subsection (1) of section 18 during any period, deduct under clause (d) of sub-section (2) of that section, from contractual transfer price received or receivable, the following:-

(a) labour charges for execution of works contract;

(b) charges for planning, designing and architects fees;

(c) charges for obtaining on hire or otherwise machinery and tools used for the execution of the works contract;

(d) cost of consumables such as water, electricity, fuel etc. used in the execution of works contract, the property in which is not transferred in the course of execution of the works contract;

(e) cost of establishment of the contractor to the extent it is relatable to supply of labour and services; and

(f) other similar expenses relatable to supply of labour and services; and

(g) profit earned by the contractor to the extent it is relatable to supply of labour and services subject to furnishing of profit and loss account of the works site.

(2) In the cases where the amounts referred to in clause (a) to clause (g) of sub-rule

(1) are not ascertainable from the accounts of a dealer, or if a dealer does not maintain proper accounts, the taxable contractual transfer price may, at the option of such dealer, be determined after deducting the amount, calculated at the percentages specified in column

(3) of the following table for different types of contracts, and the application of different rates of tax on such percentages as mentioned in column (4) of the table, of the taxable contractual transfer price, so determined :-

  Serial No. Type of contract. Percentage of Percentage of
      deduction from total value of
      the contractual contract taxable
      transfer price. @
         
(1) (2) (3)   (4)
         
      4% 12.50%
         
1 Fabrication and installation 25 25 50
  of plant and machinery      
2 Fabrication and erection of 15 45 40
  structural works of iron and      
  steel including Fabrication,      
  supply and erection of iron      
  trusses, purloins and the like.      
         
3 Fabrication and installation 15 25 60
  of cranes and hoists.      
4 Fabrication and installation of 15 20 65
  elevators (lifts) and escalators.      
5 Fabrication and installation of 15 45 40
  rolling shutters and collapsible      
  gates.      
6 Civil works like construction of 25 20 55
  buildings, bridges, roads, dams,      
  barrages, canals and diversions.      
7 Installation of doors, door frames, 20 10 70
  windows, frames and grills.      
8 Supply and fixing of tiles, slabs, 20 Nil 80
  stones and sheets.      
9 Supply and installation of air 15 5 80
  conditioners and air coolers.      
10 Supply and installation of air 15 5 80
  conditioning equipment including      
  deep freezers, cold storage plants,      
  humidification plants and de-      
11 Supply and fitting of electrical goods, 15 5 80
  supply and installation of electrical      
  equipments including transformers.      
12 Supply and fixing of furniture and 20 5 75
  fixtures, partitions including      
  contracts for interior decorators and      
  false ceiling.      
13 Construction of railway coaches 20 50 30
  and wagons.      
14 Construction or mounting of 20 30 50
  bodies of motor vehicle and      
  construction of trailers.      
15 Sanitary fitting for plumbing 25 15 60
  drainage or sewerage.      
16 Laying underground surface 30 10 60
  pipeline, cables and conduits.      
17 Dying and printing of textiles. 30 Nil 70
18 Supply and erection of weighing 15 30 55
  machines and weigh bridges.      
19 Painting, polishing and white 30 Nil 70
  washing.      
20 All other contracts not specified 20 15 65
  from serial No. 1 to 19