Get 3 Yrs of CCI Pro Membership at Greater Value. Subscribe Now!

Renting service of commercial property

769 views

Save Share

Join Us Follow Us Add as Source

Kumar Gaurav

Going...to be C.A soon...

1055 Points Posted on 23 January 2023

Hi All

My query is as under for GST related-

There are 4 individual co-landlords (Unregistered under GST) provides their COMMERCIAL Property to FIRM (Registered under GST) (Rent sharing ratio amongst Co-Landlord is 35:35:20:20)

and Value of renting services is Rs. 24 Lacs annually

Q1- Whether GST is applicable under RCM or not?

Replies (2)

Quick Summary

This discussion clarifies GST applicability for commercial property rentals. Four unregistered co-landlords are renting their property to a GST-registered firm, with annual rent totalling £2.4 million. The key question is whether GST applies under the Reverse Charge Mechanism (RCM). The consensus is that renting commercial property is not covered under RCM.