- Starting from February 26, 2024, under section 8 of the Service Tax Act 2018, the Minister has determined that maintenance or repair services are taxable services, excluding:
- Maintenance management services related to land or buildings for residential use provided by any developer, joint management body, management corporation, or residential association; or
- Repair services for residential buildings.
- The Minister of Finance has established the service tax policy for maintenance (including repair) services for residential homes as follows:
- Maintenance services (including repair) of movable items within residential homes are subject to service tax.
- Maintenance services (including repair) of items fixed to the structure of residential buildings provided directly to the owner or occupant of the residential home are not subject to service tax.
- Sinking Funds related to residential homes imposed by developers, joint management bodies, or management corporations are not subject to service tax.
- Regarding service tax for warranties:
- Warranties provided free of charge at the time of product purchase are not subject to service tax; and
- Warranty extensions with additional charges are subject to service tax.
- The effective date of this policy amendment is March 1, 2024.
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