Respected. sir/madam...I had booked a flat in November 2018 to a Builder(& not a Company)..full payment still not paid..5% payment still left...now if I do registratio in April 2019 with paying rest of the amount ... 1)) shall I hv to pay GST?(because I heard GST not applicable if agrement made with a builder & not construction company)? 2)) If I hv to pay GST,how much gst I hv to pay? (12 or 5 %?)..pls help..
Since you are paying the amount for construction service before getting the completion certificate you need to pay GST.
Builder should have collected GST at each and every installment you paid to him but now if he collects GST he needs to pay it at the rates applicable when he was liable to collect GST i.e. half at 12% and half at 5%.
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Thank you
5%still due...I paid 95% payment to the PERSONAL bank account of builder...and it's not name of a construction company...shall I hv to pay GST??...pls confirm
Now that depends on the builder and construction company how they show it in their books of account if they show it as advance in companies books then you need to pay GST and if they show such amount in companies books after receiving the completion certificate no GST will be required to be paid.
Thank you
Dear Sir,
Hope you are doing well !!
The GST is applicable, when the complex, building or flat, is sold before its completion and the consideration, whether in full or in part, is received before its completion. So, even if you book a flat, where the builder asks you to pay just one per cent or a very nominal payment and the balance after possession, you will still have to pay the GST on the full amount. Conversely, if the entire sale consideration is paid after the building is completed, there is no GST liability.
For that, you need to go through the agreement with builder.
- Yes you need to pay GST@12% if payment made before 01.04.2019 and @5% thereafter.
Hi
1. Since the flat as booked before receipt of completion certificate, GST shall have to be paid.
2. The new rate of GST shall be applicable only on those installments which are due /paid after 1.4.19.
Hi
Yes gst is payable in this case,@ 12%.
New rate of 5% applicable from 01.04.2019
Hope it helps
