I am purchaseing a under construction flat. Builder is saying apart from flat cost you have to pay 12% GST of flat cost. Registry fee also to be paid at time of possession. Is GST amount I have to pay? If I will pay the same, latter can I get return back?
Hi,
Hope you are doing well !
The effective GST rate applicable on purchase of under construction property – residential or commercial from a builder involving transfer of property in land or undivided share of land to the buyer, is 12% with full Input Tax Credit (ITC).
Yes, you will have to pay 12% GST. It will be added in your costs. No refund can be claimed.
Thanks & Regards,
Payal Chhajed
GST needs to be paid for flats purchased under construction.
You cannot get refund of the same. It will be added to your costs
Hi,
Yes, builder is correct. You will have to bear GST of 12%. You will not get refund of GST. Unfortunately, It's a cost for your.
Hi,
The builder is correct in charging the GST from you. This will be part of cost of acquisition for you and you cannot take the refund of same.
Regards,
Nikhil.
Dear Sir,
GST is applicable on under-constructed flats @ 12% on the two-third value of the total value so effective rate is 8%. You can't claim refund later on. It is a cost for you. It is good to get the property registered as early as possible in your name.
Thanks
Property can be registered at the time of possession only. Builder is saying I have to pay 12% GST of total cost and also approx 10% registry charge extra. Total I have to pay 22% of flat cost. Is builder correct or not?
Hi,
Hope you are doing well !
GST and Registration charges , both are different things.
May be the builder is correct, you just need to check with other buyer's as he is charging the same. However, the rate of 10% is too high.
Please consult with other dealers.
Also, take the acknowledgement.
Thanks & Regards,
Payal Chhajed
Hi,
There is no doubt on 12% GST. However, stamp duty charges varies from a state to State but I have not seen such a huge (10%) stamp duty. I don't think stamp duty and registration charges should be more than 6%.
Request you to check with some property consultant in Patna. He will be able to guide you.
Ask copy of payment challan of registry fees from him. Also confirm the rates from sub-registrar office. 10% is too high.
GST charges look fine.
The regiatration charges are usually didderent in different states. However, 10% is too high. Usually it ia between 6%-7%.
Would suggest you check with some property consultants in Patna before making any payment to the builder.
Regards,
Nikhil.
You will have to pay GST @12%. However, to me registartion charges of 10% seems to be on a higher side.
Please check with some local Property consultant.
