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GST on rent not collected for FY 2020-21

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mahesh chandika

student

23 Points Posted on 14 July 2021

I have a soleproprietorship business and one of our property was given on rent for 25000 per month for commercial purpose and tenant of property was collecting TDS regulary but i did not issue GST inovice for FY2020-21 for Rs 3Lakh and did not collect GST of Rs 54000.my query is to get ITC for tenant what should I do now.can I raise invoice for Rs 354000 in july 2021 and upload it in july GSTR 1.

Replies (3)

Quick Summary

This discussion addresses a sole proprietorship that failed to issue GST invoices and collect GST on commercial property rent for FY 2020-21. The tenant was deducting TDS, but the landlord did not charge GST on the £3 lakh rent, amounting to £54,000 in uncollected GST. The core question is how the landlord can enable the tenant to claim Input Tax Credit (ITC). The advice provided is to issue a retrospective invoice in July 2021 and include it in the July GSTR 1 filing, provided the tenant agrees. This allows the tenant to claim ITC, but the landlord will be liable for interest at 18% on the GST amount due to the delay.

CA Altamush Zafar

GST Consultant

10402 Points Posted on 14 July 2021

Yes you can do the same provided the tenant agrees. Before due date of September return itc can be taken therefore ITC will be available right now.
You will be subject to interest though on the cash portion.