As you said in your question that it you booked flat (i.e. ready to move flat). In case of ready to move flats there is no GST applicable. If it is under construction or completion certificate is not received from the authority then GST is applicable.
GST tax 1st time home buyer 12% to 8%
Dear All I have booked a flat valuue 96 lacs on 03/03/2018 in Mumbai. I have got homeloan disbursed from HDFC bank Ltd . During homeloan application I had also applied for CLSS scheme. As per bank official approval and credit of scheme will come within 7-8 month. As per new regulation dated 24January 2018 applicable GST is 8% for first time home buyer. Builder has requested for homeloan dibursal and added 12% GST also sayin he will do adjustment once CLSS scheme get approved. Request guidance what should i do in this case. I am comfortable with 8% gst
Asked 7 years ago in GST
Any specific reason why the builder wants to adjust later? If he is aligned that it has to be 8%, he should charge the same now!
My flat is under construction in nature. Builders are not very co-operative . He is saying as the approval will come he will adjust the same in future payment. But because of this i am facing excess burden currently.
Asked 7 years ago
You can give undertaking to the builder that if approval will not come then you will reimburse the difference of 4% alongwith interest.
Ask the builder how he will adjust it in future?.
Also ask the bank to speed up the process of approval as the builder is not giving benefit ofconcessional rate.
Or Ask undertaking from the builder in the agreement itself in respect to refund of excess payment after approval.
Ask him to take 8% now. There is no reason why you should pay higher now. Else ask him to give a written undertaking that he will reimburse the additional 4% that he charges now.
Regards,
Nikhil.
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