Section 5G in Andhra Pradesh General Sales Tax Act, 1957
5G. Composition of tax payable under Section 5F.
(1)Subject to such conditions and in such circumstances as may be prescribed if a dealer, who executes any works contract other than the category of contracts notified by the Government under sub-section (2), so opts, the assessing authority of the area may accept, in lieu of the amount of tax payable by him under the Act during the year, by way of composition, an amount at the rate of four paise on every rupee of the total amount paid or payable to the dealer towards execution of the works contract:Provided that no tax shall be payable under this section on the turnover relating to the amounts paid to a subcontractor as consideration for the execution of the works contract whether wholly or partly subject to the production of proof that such sub-contractor is a registered dealer liable to tax under the Act and that the turnover of such amounts is included in the return of the turnover filed by such sub-contractor.Provided further that if a dealer who executes a works contract of construction of apartments or buildings, so opts, the assessing authority of the area may accept, by way of composition an amount calculated at the rate of rupees 4/- (Rupees four only) per square foot of the constructed area.(2)The Government may notify from time to time the category of works contract for which the scheme of payment of tax by composition under sub-section (1) does not apply.(3)Every dealer who elects to pay tax under sub-section (1) shall apply in the prescribed form to the assessing authority to be permitted to pay the amount of tax under sub-section (1), and on being so permitted, in the prescribed form, he shall pay tax as specified under Section 13 and 15 of the Act.(4)[ Nothing contained in sub-section (1) shall apply to a dealer, who purchases or receives goods from outside , the State for the purpose of using such goods in the execution of works contract.] [Added by Act No. 25 of 2002, dated 21.12.2002.]
