Gst for real estate agent

Rental business may not get affected, but resell transaction may increase a bit because of 12% GST on underconstruction.

Very Good Morning, Dear.........

No other change due to GST implementation, but a clause incorporating VAT & Service tax liability in Agreement will be replaced by GST liability as 12%, which will be in addition to agreed price of flat/units. That means, builders would be reducing the rates on sq. ft. value because of reduction in input cost due to availment of ITC. To customers the overall price inclusive of GST would be almost same.

But because of RERA, the model of the agreement will surely change.

When you register flat, no GST payable........

But as earlier, stamp duty and registration charges only (based on agreement value, no GST added here) .........

GST will be levied over and above the flat cost..... along with your installments.......

So, as and when the installment (including advances) is paid, builder will collect 12% extra as GST, which is paid to Government....

ITC is Inpit tax credit..... which builder gets rebate on GST paid over labour cost, raw materials etc......

Most Welcome

Dear sir ,

             My firm is doing a business of buying and reselling of Residential and Comersial and industrial and agriculture lands, so i would like to know what is the rate of GST will apply and is it neccesory to ragister in RERA.

Thanks And Regards

Praveenkumar Desai

Virasat Realities

Belgaum