Letting commercial property on RCM basis, whether owner required to obtain GST and raise the bill

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This query is : Resolved

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This discussion clarifies whether a commercial property owner needs GST registration when letting property on a Reverse Charge Mechanism (RCM) basis. While RCM typically applies to residential property rentals, commercial property owners may require GST registration if their total annual rental income exceeds 20 lakhs. In such cases, they must obtain registration and issue bills with GST.

Venkateshwarlu Pulluri

Venkateshwarlu Pulluri (Querist)
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29 January 2024 one commercial property is being let out under RCM basis under GST, in this case whether owner required to obtain GST registration or he may raise the bill without GST

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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29 January 2024 GST registration is required in case of annual rental value is more than 20 lacs and raise bill with GST

CA Altamush Zafar

CA Altamush Zafar (Expert)
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30 January 2024 Commercial property does not come under RCM. If the rent along with other supplies exceeds 20 lakhs of the landlord then he will be liable for registration