Taxation of GST on Builders

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This query is : Resolved

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This discussion clarifies the Goods and Services Tax (GST) applicable to builders constructing residential flats. The consensus is that builders should charge and collect 5% GST on sales. Importantly, if opting for the 5% composition scheme, input tax credit (ITC) cannot be claimed and any previously claimed but unutilised ITC must be reversed. If GST returns haven't been filed since April 2019, this needs to be addressed alongside the ITC reversal.

D.SRINIVASULU REDDY

D.SRINIVASULU REDDY (Querist)
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13 January 2020 My Client Built One Residential Plats WITH JD total Flats are around 120 out of which My Clint is a Partnership Firm. he having 40 Flats stated in 2014 still continuing to built. as of now there is no sales. now we are going to sale How much GST to be Collecting from clients. From April 202019 i dint file the returns. previously i client input claimed but not utilised. this year we are not claiming Input. Now we are collecting Out Put GST@5% Its is correct.or How much GST To be Collect from them

Srinivas Reddy