Claiming of input tax credit

According to the GST Act, renting out of an immovable property would be treated as a supply of services. GST, however, will be applicable only to certain types of rent such as:

1. When a property is given out on lease, rent, easement, or licensed to occupy
2. When any property is leased out (or let out) including a commercial, industrial, or residential property for business (either partly or wholly)

These type of renting is considered as a supply of services and thus would attract tax.

When you rent out a residential property for residential purpose, it is exempt from GST. Any other type of lease or renting out of immovable property for business would attract GST at 18%, as it would be treated as a supply of service.

For Example:

 A resides in Bangalore and has a property in Hyderabad that is rented out to B ltd. for use as guest house. For the Hyderabad property, he is getting a rent of Rs. 30,000 monthly, or Rs. 3,60,000 per annum.

Under GST, the place of supply shall be the location of the immovable property. Therefore, even though the person resides in Bangalore, the place of supply will always be where the property is situated, which is Hyderabad in this example.

Here, the rental amount is lesser than Rs. 20 lakh a year, thus it is exempted. It needs to be noted that, though this property is used for residential purposes, it cannot be said that the rent that is received is that from the residential property as this property is given to a company for their use. How they use the said property is not the deciding factor.

No, ITC is available in the given case.

and not able to understand what kajal want to say. she has not replied on the query whether credit is eligible or not?