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Renting service of commercial property

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Kumar Gaurav

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

1624 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.