Gst on rent of property to PG


This query is : Resolved 

Quick Summary
If you're GST registered and your turnover exceeds Rs 40 lakhs, you might wonder if you need to charge GST on rent from a residential property let out for a Paying Guest (PG) business. Generally, GST is not applicable to the rent of residential properties. This exemption typically holds even when the property is used for commercial purposes like a PG, as the core service remains residential letting.

(Querist)
13 January 2024 I have registered under GST and my turnover of business exceeds Rs 40 lakhs for which i collect gst. Now i am letting out Residential property to an unregistered person who intends to run Paying Guest. Should i have to collect GST 18% on rent received from that person. or Am i exempt to collect GST as it is my residential property but now giving letting out to a person who intends to run paying guest.

13 January 2024 No GST on residential property.

RAJA P M online (Expert)
14 January 2024 GST not applicable for residential Rent.

swetha (Querist)
14 January 2024 Though it is let out to pg gst is not applicable?

RAJA P M online (Expert)
14 January 2024 Yes, GST not applicable.


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