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Addl area purchase in case of redevelopment project by an existing occupant

387 views 2 replies

Rajan

Sole Proprietor

31 Points Posted on 27 September 2019

Query is as follows:

If i am an existing tenant of a building which is to undergo redevelopment and if i were to buy additional space (more than what i am entitled to) then :

a. Whether GST is applicable?

b. If so, at what rate?

c. Under which section / rule / notification wud this be applicable, in case so?

Replies (2)

CA Prakash N

Head - Indirect Tax (GST & FTP)

373 Points Posted on 27 September 2019

What do you mean by "buying an additional space (more than what I am entitled to)"? Being a tenant what is an entitlement in the property?

Will you be buying space from the redeveloped property?

Rajan

Sole Proprietor

31 Points Posted on 27 September 2019

Yes...I mean that now from a tenant (building in Mumbai on a pagadi basis) I have been allotted say 'x' sq ft by the developer (no amt payable)...but I wish to buy 'x++' at an extra cost...hence when I m paying this extra amt, while my queries stand?