There is no doubt that you have to charge GST for construction services done for both residential and commercial properties.
Zero-rated if it is done on properties outside Singapore.
Situation
You are the GST-registered sub-contractor appointed to do the tiling and flooring works for a project eg. total value is $20,000 (excluding GST).
Your GST-registered main contractor will supply you the tiles eg. valued at $8,000 (excluding GST).
How could you do the billing?
Solutions
Option 1 – Invoice the main contractor on the net value ie. ($20,000 less $12,000) $8,000 + $560 GST.
Option 2 – Invoice main contractor for the total value of contract ie $20,000 + $1,400 GST. Main contractor would then invoice you for the tiles supplied ie. $12,000 + $840 GST.
P/S – Adapted from article in ST Feb 6, 2008.
Accounting with Edgar 