Real estate
This query is : Resolved
06 August 2020
A builder intend to construct a complex or building and sale it to a buyer. It is a supply as per Para 5(b) of Schedule II of CGST Act . Such supply is taxable till the builder receives completion certificate. After obtaining completion certificate, it is considered as exempt services . This is because, after completion of work or first occupant of the project it become building and GST is not applicable on building.
Where promoter opts to continue with old scheme and pay tax at full rate (8%/12%) after availing ITC, proportionate reversal of Input Tax Credit is required in respect of apartments remaining unsold as on date of completion or first occupation, whichever is earlier.
As per above statement GST is not applicable on sales of building if the first occupation of project is given before complication of certificate. but we have paid GST on advance payment received after the first occupation. & now the project is complete. so what is the impact of paid GST in GST regime. what action we have to take . Kindly Guide ???
Where promoter opts to continue with old scheme and pay tax at full rate (8%/12%) after availing ITC, proportionate reversal of Input Tax Credit is required in respect of apartments remaining unsold as on date of completion or first occupation, whichever is earlier.
As per above statement GST is not applicable on sales of building if the first occupation of project is given before complication of certificate. but we have paid GST on advance payment received after the first occupation. & now the project is complete. so what is the impact of paid GST in GST regime. what action we have to take . Kindly Guide ???
06 August 2020
You can claim refund of the GST excess paid under section 54.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- STCG....................................................
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- TAN for Partnership
- Sales return eway bill
- REGARDING GST LIABILITY/....
- Suggestions required for income tax filing-software (FY 2025-26)
- Loan by Partnership Firm
- E way bill for tractors
- Is E Way Bill Valid If Transport ID Not Mentioned in PART A But Vehicle details mentioned in PART B
- Free lancer income
- Long Term Service award taxability in hands of company
- Standard Deduction claim for EPFO Pension and ICICI Prudential Life Annuity
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- Nomination of Bank for refund in itr 2
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
