GST reduction does not apply on Land Owner Share Flats
Hi,
I have booked a flat in Feb-2019 month with GST 12% which is under construction and as per RERA the possession is in DEC-2019. There is a JDA between Builder and Land Owners. And the flat which I have booked falls under Land Owner's share.
Builder only is selling Land Owner's share flats, but all transactions are happening in the name of Land Owner's name.
And now when I am telling them to reduce the GST price to 5%, it seems they are not ready and giving me below two excuses.
1. They are saying we are allowed whether to continue with old TAX rates i.e. 12% or new TAX rates i.e. 5%.
2. They are saying if we reduce it also, For you it will remain same since you bought flat from Land Owner's share and on which Input TAX Credit does not apply and hence no reduction on GST rates.
Please help me to understand this and why there is difference in Builder Shares and Land Owner Shares.
Thanks,
Sanjay Kumar
Asked 6 years ago in GST
I have discussed the same with my Builder and explained him that the GST cost was 12% before Completion Certificate which applied to both Builder and Landowner's.
But now they are saying, Since you bought the flat from Landowner's share we have changed you 5% only and just for the purpose to make calculation easy we have shown 12% in the Price Sheet. But in actual it is 5% which obviously any one can understand they are lying.
As per my research/understanding it was 12% for both Builder and Landowner's.
Also I have told them that as per no standard before 20-Mar-2019, landowner could charge 5% GST.
The GST price sliced now only and it applies to both whether it is Builder Or Landowner.
Please suggest me if I am missing something!
Asked 6 years ago
