GST rules in case of renting of immovable property for residential purpose.

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I have a property in Lucknow , U.P and it is rented for residential purpose. I am not registered in gst since my turnover is less than 20 lakhs.
The tenant belongs to Pune . He is asking me to get registered under GST.
Am I supposed to get registered ?
please reply .
Replies (14)

No.

Residential rental service is not taxable under GST

no u need not to register
No need to register.
however if your turnover (including rental income) exceeds 20 lakh, needs to get registered
No the turnover does not exceed 20 lakh .
What will be the situation if the premises are rented for commercial purposes ?
Can I claim the threshold exemption in that case also ?

There is no Residential Property Rental Income under GST and only threshold of 20laks for Commercial Property Rental Income under GST is applicable.

If tenants ask you again ask them to go through this link 

https://timesofindia.indiatimes.com/business/india-business/rental-income-beyond-rs-20-lakh-to-attract-gst/articleshow/59539754.cms

Hi,

How much annual rent. 

If they interested to show records in their books, they need GST registration for claim TDS.

Pls note it is based on rent amount.

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To get more details about this, click on this link: Rental income beyond Rs 20 lakhs to attract GST in India

Originally posted by : Aanchal Verma
I have a property in Lucknow , U.P and it is rented for residential purpose. I am not registered in gst since my turnover is less than 20 lakhs. The tenant belongs to Pune . He is asking me to get registered under GST. Am I supposed to get registered ? please reply .

Dear Aanchal Verma.,

As per rule, Residential Property to Renting for residential is not under GST. Its fully not under GST even your Turn Over above 20lakhs. The same situtation if a commersial property is need to get GST T/O above 20 lakhs.

i'll come to my point. As per rule residential not under GST. But, Why your tenent asking GST to You...? Bcoz., In My view You given the property for Commersial Using to the Tenant. If Am I right... You can consider if your T/O is above 20lakhs.

Bcoz., Your tenant ll be booking the rental amount to his business account with paid RCM....

Mr. Raja, in that case if she registers under GST for Residential Property and the tenant raises the claim even if it is under RCM it'll be a legal case as the conversion of the Residential to Commercial wasn't done as per the Rules and Secondly they could deduct TDS under section 194I if they are using the residential property for commercial purpose isn't it?

Yes. Exactly it is wrong. A residential property given to Commercial is not good/allowed.

Here two option in hand....

1. Changing residential to commercial or

2. Given to Residetial purpose

and also to says above points to the landlord 

And in another prospective view (My View) i think the resident / tenant must be a Proprietor of certain business and wants to claim the same under GST.... but Ms. Aanchal Verma building being under residential property, Owner should'nt register under GST.

No...! Here don't mind URD/RD and We think its Commercial or Residential...!!!

if a persone is registered under GST and whether he need to charge GST for  expempted  Rental income as he is registered.

Under GST Regime, 'renting of immovable property' is included in schedule II which defines it as the supply of services on which the GST rate is 18%. However Entry no. 12 of exemption Notification no. 12/2017 dated 28.06.2017 exempts the services by way of renting of residential dwelling for use as a residence, meaning thereby that if the residential dwelling is leased out for commercial purposes then no exemption will apply and the rental from such residential property being leased out for commercial activity shall be taxable to GST.


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