Gst on mense profit and rent received as compromise

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FINANCE ASSOCIATE
28 Points Joined March 2011

Q1. Whether GST will be applicable on mense profit?

Q2. If A have to pay Rs. 20,000 as rent to a company on monthly basis and being a defaulter for long. Afterwards they come to a compromise to pay and receive Rs. 5,000 as rent for the default period and vacate the premises? Whether GST will be applicable on Rs. 5000/- as rent received?

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On 28 May 2018 at 20:22 Report
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343 Points Joined May 2018
GST is applicable on supply on the transaction value as per section 15 of CGST act 2017 and not on profit.

YES,Gst would be applicable as per clause b of para 5 of schedule II of CGST act 2017, rent received would be treated as supply of service and would be liable to GST as per section 9 of CGST ACT 2017
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On 28 May 2018 at 21:25
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24196 Points Joined May 2018
I think gst not applicable because turnover not exceeds the gst threshold limit.
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On 28 May 2018 at 23:27


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