How is GST calculated on under construction property?
How is GST calculated on under construction property?
The land value in that property is Rs. 1000000. So the GST on construction would apply only on the remaining Rs….Answer ( 1 )
| Type of Property | GST Rate |
|---|---|
| Affordable housing residential property | 1\% without Input Tax Credit |
| Other residential property | 5\% without Input Tax Credit |
Why is GST charged on under construction property?
The liability to pay tax arises on the date of completion or first occupation of the project whichever is earlier. Thus, GST would be applied on the value which is proportionate to the construction of residential apartment that remains unbooked on the date of issue of Completion Certificate/first occupation.
What is the GST on construction?
2017, GST will be levied @12\%(effective rate). The builder will be able to take credit Of ITC available.
How do I get GST refund from builder?
Refund can be claimed within two years from the date of payment of tax under Section 54 (1) read with Section 54(8) (c) & (e) of CGST Act. Either you or builder can apply for. If you apply for refund claim, you will get disclaimer certificate from the builder and attach with the refund application.
Is GST applicable on construction material?
Articles of cement, of concrete or of artificial stone, whether or not reinforced; such as tiles, flagstones, bricks and similar articles, Building blocks and bricks, Cement bricks, Prefabricated structural components for Building or civil engineering, prefabricated structural components for building or civil …
Is GST applicable on maintenance charges collected by builders?
Yes, maintenance charges paid by residents to the Resident Welfare Association are exempt up to Rs. 7,500. In case the amount charged exceeds Rs. 7,500 per month per member, GST is chargeable on the entire amount charged.