GST on consideration for Development Right
06 June 2020
A developer and Landlord has entered into a Joint Development Agreement before 1.4.2019. After issue of notification no 4/2019 dt 29.02.2019 the developer decided not to opt for the same and continue to charge GST @ 12% on sale of its apartments and claim ITC on materials used.
My query is when the developer now pays consideration for development rights to the Landlord in form of constructed flat / cash then the GST on development rights shall now be charged on RCM basis or Landlord has to collect GST from the developer. Pls reply with necessary Notification No, AAR, section etc