Bihar Value Added Tax Rules, 2005
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Body 18. Taxable turnover

For purposes of section 35 the taxable turnover of the dealer shall be that part of his gross turnover which remains after deducting therefrom:-

(1) The aggregate value of the transactions specified in section 6;

(2) Sale price on account of sales exempted under section 7;

(3) In the case of works contract, the amount remaining after deducting from the gross value of the contract the amount on account of the following-

(a) Labour charges for execution of the works contract,

(b) Amount paid to sub-contractor on account of labour and services,

(d) Charges for obtaining on hire machineries and tools used in the execution of the works contract,

(e) Cost of consumables such as water, electricity, fuels, etc. used in execution of the works contract the property in which is not transferred in the course of execution of a works contract,

(f) Cost of establishment of the contractor to the extent it is relatable to supply of labour and services,

(g) Other similar expenses relatable to supply of labour and services,

(h) Profit earned by the contractor to the extent it is relatable to the supply of labour and services, and

(i) Goods or transactions exempted under section 6 or section 7 of the Act;

(j) In case of developer, cost of land as specified in prescribed manner

(3A) Subject to the provision contained in clause (cc) of sub-section (1) of Section 35of the Act, where the contractor does not maintain proper accounts or the amount actually incurred towards charge for labour and other services and other items mentioned in clause (c) of sub-section (1) of Section 35of the Act read with sub-rule (3) can not be ascertained from the accounts maintained by him, the prescribed authority,on the basis of nature of works contract may allow deductions on account of labour and services equal to the percentage shown in the following table :-

Sl. No.	Nature of contract	Deduction for *Labour and Services (in percentage)*
(1)	Contracts in which only labour and services are involved	100
(2)	(a) Earthwork in all types of soil in all works on canals, roads, embankments, dams etc. by machines. (b) Construction of earth dams with earth moving machines.	20 25
(3)	(a) Construction of masonry/concrete dams, barrages, bridges, water towers and P.H.E.D. installations and lift irrigation installation, etc. (b) Stone masonry in dams and other such works.	30 35
(4)	Construction of canal structures and lining of canals.	30
(5)	(a) Construction of pucca roads (excluding earthwork) (b) Construction of pucca roads (including earthwork in formation of new road)	15 25
(6)	River training and flood protection work involving boulder and brick pitching (excluding earthwork)	40
(7)	In the case of electrical contracts.	20
(8)	In the case of structural contracts.	30
(9)	In the case of sanitary contracts.	33
(10)	In the case of re-treading contracts.	50
(11)	In the case of textile dyeing and printing works contracts.	50
(12)	In the case of Photography and printing contracts.	30
(13)	In the case of sculptural contract or contracts relating to arts.	70
(14)	In the case of refrigeration, air conditioning or, other machinery, rolling shutter, cranes installation contracts. Installation of Plant and Machinery	15
(15)	Construction of all types of buildings	30
(16)	Fixing of marble slabs, polished granite stones and tiles (other than mosaic tiles)	25
(17)	Fabrication and installation of elevators (lifts) and escalators.	15
(18)	Installation of doors, doorframes, windows, frames and grills.	15
(19)	Supply and fixing of furniture and fixtures, partitions including contracts for interior decoration and false ceiling, installation of modular kitchen.	15
(20)	Manufacturing/fabrication of Railway coaches and wagons on under carriage supplied by Railway.	20
(21)	Fabrication or mounting of bodies of motor vehicle and trailers.	20
(22)	Installation of weighing machines and weighbridges.	15
(23)	Painting, polishing and white washing.	30
(24)	Electroplating, Electro Galvanizing and Anodizing and the like	40
(25)	In the case of other contracts.	30

(4) Value of goods transferred otherwise than by way of sale;

(4A) Sale of goods to organizations specified in Schedule V to this Act;

(5) The value of goods sold but returned to the dealer within a period of six months from the date of the original sales and in respect of which the selling dealer has issued to the purchasing dealer a credit note specified in section 53 of the Act;

(6) Sale price at the subsequent stages of sale of such goods:

(a) specified in Schedule IV of the Act as being subject to tax at the first point of their sale in Bihar, or

(b) on the sale whereof tax at the maximum retail price has been paid at the first point of its of sale in Bihar, if necessary evidence as required by sub-section (2) of section 13 is annexed with the return required to be filed by the dealer under subsection (1) of section 24.