Gst impact on construction industry

"but if we promote residential flats what type of retun we should file under GST regime."

Same as works contract, taxed at 18% on construction agreement. No UDS cost included.

Sir, Thank you verymuch for your advice.

I think in works contract there is no option to take ITC, but in construction of residential or commercial building and sale to the buyer there is option to take ITC.

is it correct ????

Check Sr. No. 27 of the list.  "Composite supply of Works contract as defined in clause 119 of section 2 of CGST Act..........18%  With Full ITC.

Even builders having more UDS percentages are going for these option against 12% with ITC available under earlier option of " Construction of a complex, building, civil structure or a part thereof, intended for sale to a buyer, wholly or partly. [The value of land is included in the amount charged from the service recipient]....12% with ITC.

Nice Thank you very much sir

Sir,

We are going to file the retrun on the basis of following option,

" Construction of a complex, building, civil structure or a part thereof, intended for sale to a buyer, wholly or partly. [The value of land is included in the amount charged from the service recipient]....12% with ITC

But how to calculate output GST( under the VAT we are calculate Output vat on basis of Deemed Sales ( i.e Purchases plus 10% margin)

Please reply Sir

Its similar to service tax output liability earlier.

Based on payments received or bills raised, whichever earlier. (See POT rules)

Thank you sir

Most Welcome

Now GST is implemented by the Govt of India. In this situation I have some doubts about the implication of GST on our construction industry.

1.Our company is a Construction company doing business in Chennai, Tamilnadu. We are doing construction of residential complexes and sale the Flats to home buyers (within the state of Tamilnadu only). Our Last year Turnover was Rs.8 Crore.

2.We have received the Total Sale Consideration from the Flat buyers  as instalments ( As per construction Stage )for Example : Total Flat cost Rs.48 00 000/-(Assumed)  including UDS of Landvalue.We have received as booking advance in the month July 2017 Rs.5 00 000/- and balance amount of Rs.43 00 000/- in the subsequent month  as per Stage of the  building.

3.We have purchased construction materials like sand, iron & steel, Cement, Tiles from Registered dealers from Tamil Nadu(within the state) for  Rs.12 00 000/-(Assumed)  and ITC available Rs.250000(Assumed)

We came to know that the GST for the Under Construction of Flats is as follows

Please explain the method of Filling of GSTR 1 and GSTR 3 for the above.

Thanks in Advance

Regards

Raja  A R

Now GST is implemented by the Govt of India. In this situation I have some doubts about the implication of GST on our construction industry.

1.Our company is a Construction company doing business in Chennai, Tamilnadu. We are doing construction of residential complexes and sale the Flats to home buyers (within the state of Tamilnadu only). Our Last year Turnover was Rs.8 Crore.

2.We have received the Total Sale Consideration from the Flat buyers  as instalments ( As per construction Stage )for Example : Total Flat cost Rs.48 00 000/-(Assumed)  including UDS of Landvalue.We have received as booking advance in the month July 2017 Rs.5 00 000/- and balance amount of Rs.43 00 000/- in the subsequent month  as per Stage of the  building.

3.We have purchased construction materials like sand, iron & steel, Cement, Tiles from Registered dealers from Tamil Nadu(within the state) for  Rs.12 00 000/-(Assumed)  and ITC available Rs.250000(Assumed)

We came to know that the GST for the Under Construction of Flats is as follows

Please explain the method of Filling of GSTR 1 and GSTR 3 for the above.

Thanks in Advance

Regards

Raja  A R