Gst on preferential location charges

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Rahul Singh (Querist)
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10 August 2021 can developer charge gst on preferential location charges for ready to move property? in case property gets cancelled after possession (but not registered) then can gst gets refunded by government?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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10 August 2021 No GST applicable on ready to move property for which completion certificate obtained.
Government will not refund GST obtain refund from your builder, he only can get GST refund from government.

Rahul Singh

Rahul Singh (Querist)
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10 August 2021 but gst applicable on 'preferential location charges' even though that is ready-to-move property? I know about property cost but not aware of PLC so please confirm.

if they can charge then incase if property is cancelled, can they get refund from government?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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10 August 2021 GST applicable on preferential location charges if GST applicable on property.
Yes, they can get GST refund from government.

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Rahul Singh

Rahul Singh (Querist)
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12 August 2021 can i take gst input for this? developer earlier missed adding my gstin? can they do now? it is big amount.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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13 August 2021 ITC not allowed on property purchase.

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