GST ON RENT PAID to URD

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
Replies (7)
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.

Used for business purpose.

In case of non residential rent expenditure it would be applicable under forward charge, provided the supplier is registered under GST.

If you pay it for residential unit, where you yourself are staying and if the expense are not debited to your business P&L acc. No GST RCM applicable.

Yes, GST applicable under RCM if it's commercial property
Thank you sir

if you use the premises for both residence and business then 50% RCM payable by you

 

I request all gentlemen who are answering the querries to mention section/rule number if possibl. Thank you all. N.V.Ratnam

Where we will show it in GSTR1

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