Hi, I have booked a under construction flat in Feb-2016 for Basic amount Rs.36,00,000/-.Till the December-2016, I have paid to builder Rs.33,60,000/- and applicable Service Tax (3.75%) + VAT (Paid fully Rs.36000/- 1% on Rs.36,00,000) Now on Balance payment for Rs.2,40,000/- builder is asking me to pay GST (12%) on balance payment. Please let me know, on my balance payment of Rs.2,40,000/- whether I have to pay GST @ 12% Or Service Tax @ 3.75%. Or how to go further on this. Additional details – Flat possession not received but OC received on 30th June 2017.
Hi,
If the OC is received on 30 June 2017, then you need not to pay GST on the balance amount. However, if the OC is received after 30 June 2016 then you will have to pay GST on balance amount.
Please feel free to call/ revert in case you need more clarity.
Thanks and regards
Abhishek Dugar
CA CS B.Com
Hi
Since you have received occupancy certificate before GST implementation, no GST can be charged on any balance amount. Your builder is charging GST wrongly.
Hi Abhishek / Lakshita, thanks for the your reply. Can you please help me to get any Notification or Circular on this. It would be great help so that I can firmly discuss this point with builder. Actually before to obtaining OC, work was completed more than 98% but builder haven’t raised demand letter to Bank for further loan amount disbursement hence I haven’t paid service tax for that particular amount. Do I need to pay Service Tax on Balance / Pending Partial payment as I booked a flat when site was under construction? Thanks.
Service Tax shall be applicable.
Check with the terms of your agreement with the builder.
Can you please help me to get any Notification or Circular on this. It would be great help so that I can firmly discuss this point with builder.
Can somebody will please reply me on this. Builder is asking to pay GST.
Hello All, please reply. Builder said, he is raising invoice in GST regime so GST will be applicable on that and you have to pay for the same. He said this is the confirmation from his CAs and other tax lawyers. Please reply how to deal with this. ?
Hello All, please reply. Builder said, he is raising invoice in GST regime so GST will be applicable on that and you have to pay for the same. He said this is the confirmation from his CAs and other tax lawyers. Please reply how to deal with this. ?