GST - Rental payments

Hi

 

Renting of commercial property for business use/Residential use? Landlord is not registered under the GST Act. Is there any GST liability?

 

Thanks 

Indira

Replies (4)
Quick Summary
This discussion clarifies GST liability on rental payments for commercial properties. If the landlord is not registered for GST, the tenant may be liable to pay GST under the Reverse Charge Mechanism (RCM) if the property is used for business purposes. However, RCM is not applicable to residential properties, and if both landlord and tenant are unregistered, no GST is payable.

Only if it's for business use then GST under RCM is payable by the tenant.

If landlord is not registered no GST. RCM only applicable on residential property.

If both are unregistered/ not liable for GST registration then there is no GST liability
Yes 18% need to be paid on rent

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