Save Rs 588 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Builders(affordable rrep)

Save Share

This query is : Resolved

SURAJ SINGH (Querist)

30 July 2019 MY CLIENT IS RREP BUILDERS HE IS UNDER 1% SCHEME FOR 01.04.2019. AND HE IS FIRSTLY REGISTERED UNDER THE GST INPUT OUTPUT SCHEME, AND HE IS CLAIM ONLY ITC FOR THE TWO YEARS,OR HE IS NO OUTPUT FOR THE TWO YEAR. SO THE RS.1810400 IS ITC ON CREDIT LEDGER. SO THAT ITC IS REFUNDED FOR ME OR NOT,AND WHAT IS THE TREATMENT OF ITC IN AVAILABLE CREDIT LEDGER.PLEASE GUIDE ME

CA Anita Bhadra

CA Anita Bhadra (Expert)

30 July 2019 Effective rate for Affordable RREP Builder w.e.f 01 April 2019 is 5% without ITC

There may be a situation wherein a promoter / builder has started work in a project and have received inputs and input services. But have no booking prior to 1st April 2019.

In this scenario, the promoter has availed input tax credit in the old tax regime but the entire tax on the project will be paid in new tax regime wherein availing input tax credit is not allowed.

Therefore, such a promoter is required to reverse the input tax credit already availed

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now