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GST on Rent

CA Shekhar R. Maske (Partner) (35 Points)

09 July 2018

I have 6 properties, which I have let out. It comprises 4 commercial having monthly rent of Rs. 50000/- and 2 residential having rent of Rs. 20,000/-. These properties are shown as investment in my balance sheet together with my business assets and liabilities and I pay taxes on house property and business as well. Am I suppose to pay GST on properties let out ? If yes, I should pay on commercial rent or both commercial as well as residential.

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3 Replies

CA Mayur Todmal (Practicing CA) (7756 Points)
Replied 09 July 2018

if you are already registered under GST, you are liable for gst on rent from commercial property. Residential property used for resident purpose not liable for GST.

If you are not already registered and pan based turnover including rent and other exceeds 20 Lakh regi req.

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RAJA P M ("Do the Right Thing...!!!") (128106 Points)
Replied 09 July 2018

(These properties are shown as investment in my balance sheet together with my business assets and liabilities)
As per this I think You are registered under GST...

If Yes... Then Commercial rent is Taxable under GST and You must collect GST for the Rent.