Will a open plot attract gst and is it required to pay to seller.

Ashok (Engineer) (21 Points)

02 July 2018  

I am planning to buy an open plot. The deal price is finalized with terms of payment. (Cash + Bank loan)

Now the seller says that I need to bear the GST @ 18% on the amount given to him through Bank loan.

Does an open plot attracts GST, if yes at what percentage ( 6% or 12% or 18% or 28%) ? 

Please share your suggestions at the earliest.

Illustration:

Cost of plot : Rs 50,00,000

Payment by Cash: Rs 15,00,000

Bank loan: Rs: 35,00,000

GST @ 18% on Bank loan - Rs 6,30,000