Abstract

Abstract: The goods and service tax (GST) is a value added tax levied in India on the supply of goods and services. It is a comprehensive multistage, destination based on one nation one tax. Goods & Service Tax has made large scale changes in the working pattern of all the sectors of Indian Economy. One of the sectors is construction industry. GST on construction sector hiked to 18%. The government has hiked the Goods Service Tax Rate for the construction sector to 18% from 12%. But it also allowed deduction of land value equivalent to one third of total amount charged by the developer for GST calculation. In this paper the factors which affect the construction industry through GST is identified. And the analysis of identified factors has been done.

Keywords— Construction industry, good service tax (GST), economy.