VAT and service tax on initial booking amount for a flat-is it chargeable?
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I booked a flat by paying a booking advance of rs.100000.In the booking from,it is mentioned in fineprint that if I cancel the booking,I agree for the refund of the booking advance after deducting vat and serevice tax within one month from the date of cancellaation.Now iam cancelling the booking since my lawyer has not given clearance due to legal issues in succession of landlord..I just want to know whether the builder/developer is right in deducting VAT/service tax as per law