dear sir I am registered person and I am paying 12500 rent every month to unregistered person is it GST applicable please tell me if applicable what is your GST rate please tell me sir
thanks in advance
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Quick Summary
This discussion clarifies GST applicability on rent paid to unregistered persons for business premises. Generally, GST is applicable under the Reverse Charge Mechanism (RCM) if the property is commercial. If the premises are used for both residential and business purposes, RCM may apply to 50% of the rent. The applicability hinges on whether the expense is debited to the business P&L account and the supplier's GST registration status.