All, Any thoughts on how the GST is expected to impact the basic construction materials such as cement, steel, bricks etc.
Please share your thoughts. I am interested in how the final price will be after the GST tax compared to what it was before GST.
Thx,
Vishnu
Impact on GST for construction materials
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Vishnu2014
- Posts: 54
- Joined: January 5th, 2014, 10:49 pm
Re: Impact on GST for construction materials
At the high level, Cement will be down by 1% and Steel will go up by 8%.
Wherever service tax component is there, it will go up from 14.5% to 18%.
Cost of ready made Furniture is down by 17%.
Interior work is considered under 'Luxury' Segment and hence the Tax rate is 28% from the earlier 14.5%.
With GST, the Entry tax of 5% for the petroleum products is removed in Karnataka.
We need to see how this will be passed on to the end users by the service providers.
Wherever service tax component is there, it will go up from 14.5% to 18%.
Cost of ready made Furniture is down by 17%.
Interior work is considered under 'Luxury' Segment and hence the Tax rate is 28% from the earlier 14.5%.
With GST, the Entry tax of 5% for the petroleum products is removed in Karnataka.
We need to see how this will be passed on to the end users by the service providers.