80:20 Rule on construction of residential apartments
This query is : Resolved
25 June 2025
Hello,
To calculate 20% shortfall, should we consider including gst or excluding gst, because ITC not eligible so that will be considered as cost. so below given methods which method is right
Method1: Including GST as Expenses
GST Bill
Taxable Value 10,00,000
Tax @ 18% 1,80,000
Total 11,80,000
Non GST Bill 5,00,000
Total Expenses 16,80,000
80% of the total Value 13,44,000
20% of the total Value 3,36,000
Shortfall Value 1,64,000
Method1: Excluding GST as Expenses
GST Bill
Taxable Value 10,00,000
Tax @ 18% 1,80,000
Total 11,80,000
Non GST Bill 5,00,000
Total Expenses 15,00,000
80% of the total Value 12,00,000
20% of the total Value 3,00,000
Shortfall Value 2,00,000
To calculate 20% shortfall, should we consider including gst or excluding gst, because ITC not eligible so that will be considered as cost. so below given methods which method is right
Method1: Including GST as Expenses
GST Bill
Taxable Value 10,00,000
Tax @ 18% 1,80,000
Total 11,80,000
Non GST Bill 5,00,000
Total Expenses 16,80,000
80% of the total Value 13,44,000
20% of the total Value 3,36,000
Shortfall Value 1,64,000
Method1: Excluding GST as Expenses
GST Bill
Taxable Value 10,00,000
Tax @ 18% 1,80,000
Total 11,80,000
Non GST Bill 5,00,000
Total Expenses 15,00,000
80% of the total Value 12,00,000
20% of the total Value 3,00,000
Shortfall Value 2,00,000
12 August 2025
https://docs.google.com/document/d/1qt05YELXMpjlfZlX3VRt1chQeSD9GsBG668d6clAWsI/edit?usp=sharing
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Gst on travel by air for business purposes
- CLOSING STOCK QUERY
- CAPITAL GAIN REDEVELOPED FLAT
- Requirement under FEMA &RBI
- TDS on rent received on hardship compensation being rent on redevelopment of building
- Rent claimed on building given on permissive possession basis
- Loss of interest in PF transfer from EPFO to Trust
- U/S 194 T
- 44AD, 44ADA business details
- Technical Glitch in ITR-4 Online Form (AY 2026-27): Sec 44AE Partner Remuneration not mapping to E8
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
- Query regarding reporting of exempt foreign remuneration in ITR (AY 2026-27)
- FEMA/RBI treatment — Amazon.ca arbitrage (US buy, Canada sell, goods never enter India)
- Goods return by customer
- INWARD REMITTANCE FOREIGN
- CPC and SAC
- Account freezed for Ineligible ITC Scrutiny for GST Annual Return
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
