GST of under construction house

Dear Sir,

Hope you are doing well !!

For the ongoing projects, builders have been given the option to either continue in 12 per cent Goods and Services Tax (GST) slab with ITC or opt for 5 per cent GST rate without ITC.

“Ongoing projects” means projects where construction and actual booking started before April 1, 2019, but which was not completed by March 31, 2019.

In your case, the new rate is apply only if builder had opted the option of new rates.

Please check the same with builder.

Otherwise, you will be liable to pay GST as per old rates.

Hi

For the ongoing projects, builders have been given the option to either continue in 12 per cent GST slab (8 per cent for affordable housing), with ITC, or opt for 5 per cent GST rate (1 per cent for affordable housing) without ITC.

You need to check with your builder which option is been opt by him .

Hello,

For the applicable GST rate, you need to ask the builder whether he has opted for the old rates or new rates for the ongoing project.

I hope this answer satisfies your requirements. 

Regards,

CA Hunny Badlani

If your builder is not taking the credit reduced rates will be applicable.

Hi

The builder had an option to opt for old or new rate. Ask the builder what option has been chosen by him, the GST rate shall apply accordingly.

Now GST will be 5%

Did your builder shift to 5% rate?

There was a choice given to builder as to whether they want to shift to 5% from 12% or not.

Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.

Thank you