Hi, I am buying a flat from land owner. He got 3 flats from builder as per their agreement and intends to sell one of them to me. Some lawyer are saying gst @12% applicable and some are saying not applicable as both seller and buyer are not registered. Kindly guide. Completion certificate will be issued in Jan 19. Shall wait till then for registration.
Hi,
Hope you are doing well !
No GST is applicable if it is sold after completion.
However for selling during construction stage, GST @ 12% is applicable with benefit of input tax credit.
You must purchase the flat after construction is completed and OC is issued then no GST would be applicable
For purchase of under construction flats GST is applicable at 12 percent
Hi,
1. GST is applicable at the rate of 12% for under construction flats.
2. Better purchase the flat only after the construction is complete and OC is granted as then GST will not be applicable.
Hi,
- On under construction property GST is applicable @12%. For you it will be an additional cost unless you are supplying taxable supply liable to GST.
- It is better to wait for the OC. Get n OC and make full payment then it would be exempt.
Thanks
Hi
When you're buying an under construction property, GST shall be applicable whether you buy it from builder or land owner.
However, if you're buying the property post completion, no GST shall be applicable.
If the flat is complete and the property got its completion certificate then no GST will be applicable as you are purchasing a finished product. However if the flat is still under construction then GST will be applicable @12%.
Applicability of GST has nothing to do that you both are not registered in this case.
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Thank you
Hi,
GST will be applicable at the rate of 12% for under construction flats. It is advisable to purchase the flat only after the construction is completed and OC granted as GST will not be applicable then.
Regards,
Nikhil.
