Madras HC directs to consider revising GST Rates from 12% to 18% for contract works; Court issued Final Order..!

Chennai : The Madras High Court has ordered to increase the GST amount from 12% to 18% on contract works.

It has been recommended to increase the amount of GST from 12% to 18% from 18.07.2022 for the contract works carried out in the highway sector by the GST Council. However, instead of increasing the amount paid to the contractors from 12% to 18% for the works carried out in the highway sector, only 12% was paid to the contractors.

Following this, a case (Case No WP No 21533 of 2023) was filed on behalf of KCP Infra Limited in the Madras High Court. It was said to pay the GST amount from 12% to 18% from 18.07.2022 for all the works carried out by the contractors. This case came up for hearing today(20.07.2022).

The Hon’ble Judge Mr.C.Saravanan, who investigated the issue, ordered to consider 18% percentage amount due from 18.07.2022 and pay the same for the completed work within 45 days.

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