Land owner gst applicable on Selling Underconstruction flat?

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This discussion clarifies GST applicability when a landowner sells under-construction flats, particularly in projects developed under a Joint Development Agreement (JDA). It confirms that if the landowner sells flats from their share in a JDA project, GST will be applicable. The specifics of GST liability and its impact on the builder's Input Tax Credit (ITC) depend on the project's development structure and whether it falls under affordable housing schemes.

NITIN SHETTY

NITIN SHETTY (Querist)
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04 February 2023 Hi members,
A query on GSt on Under construction. Flat which is being sold by the Land owner, during the Building is in Under-construction status and approved by Rera.
Query is How does the land owner pay gst. If yes, then how much gst needs to be filled. ??

CA Altamush Zafar

CA Altamush Zafar (Expert)
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05 February 2023 Provisions will differ on fact of the case whether the project is being developed under JDA or under simple contract. This may require an elaborate explanation

NITIN SHETTY

NITIN SHETTY (Querist)
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05 February 2023 Hi Altamush Sir,
Thank you for the reply .
Yes, The project is being developed under JDA, and it comes under Affordable Home Scheme under Mahanagar Palika .

CA Altamush Zafar

CA Altamush Zafar (Expert)
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05 February 2023 If under JDA landowner sells flats of his part GST will be applicable. Effect on ITC and liability of Builder will get impacted accordingly

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