GST on Selling Old Houses under Renovations

This query is regarding a situation, where an LLP which is not registered under GST (newly formed and is still below threshold limits)

Suppose this LLP buys a piece of land, which has 4 existing old structures/houses built on it. It starts renovating the structures and sells the structures with approx 1/4th divided land each, while the renovation work is still on.

There is no possibility of getting any construction plans sanctioned nor getting any sort of Completion Certificate as the land is outside the purview of any competent authority who can issue these. So this work would be done without any sanctioned plans, commencement certificate, completion certificate etc.

Would selling the structures with 1/4th land each, while renovation work is still on, attract GST?If yes, How do we define that renovation work is now Complete, hence no GST is applicable?

I remember there was a removal of difficulty order before the GST era, where a licensed Architect could also issue a CC where a municipal body could not issue/did not exist. Is such a provision applicable in the current GST era as well?

Replies (2)
Quick Summary
This discussion explores whether GST applies when an LLP sells old houses with land while renovations are ongoing, especially when plans aren't sanctioned. The consensus suggests GST is likely applicable, even without official completion certificates, as the sale of renovated property is generally taxable. It's advised to consult local authorities like the village grampanchayat for guidance.

1. GST will be applicable...

2. No question if non-sanction of plan. Contact villege grampanchayat officer or talati..

GST WILL BE APPLICABLE ON NEW HOUSES.

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