GST is applicable on his portion. He should chage GST on that.
Gst applicable on rent of rooms in hospital
an ayurveda hospital is located in himachal - hospital consists of opd , and rooms for patients to stay .. hospital is run by a no profit organisation and a lease agreement is done between owner of building and the organisation which runs the hospital . room rent charged by operator to patients is exempted from gst . now after receiving room rent 20 percent goes to operator and 80 percent goes to the owner of building as lease .. amount of rent is more than 20L a year . in this case when owner receives his share of 80% will it attract Gst on his share of lease ? how will he pay when operator is not charging from patient ?
Asked 6 years ago in GST
maam -hospital is exmpted from GSt - so that dont need to charge GST to Patiets . when they are not charging from patients , but owner gets lease as 80%of patients room rent how will he pay from his side - if that is the case how can we avoid it ?
Asked 6 years ago
Hospital rendering services to patient is exempt. But for the owner renting its pproperty is taxable. It's irrelevant how the lease term has been designed.
is the owner single or joint?
owner is single - land is owned by single person - property is also in prop.ship company of the same person is there any way to avoid GST . ?
Asked 6 years ago
no.. then its liable to GST
Hi
GST cannot be avoided. Since the annual rent exceeds Rs. 20 lakhs, GST has to be paid in cash.
Yes, the owner of the property will have to pay GST if it exceeds 20 lacs.
Please feel free to call/ revert in case you need more clarity.
Thanks and regards
Abhishek Dugar
CA CS B.Com
Hello,
The land owner will charge GST @ 18% to the operator no matter if the operator is charging GST or not. So technically it will be a cost to the hospital.
Trust this clarifies your query.
Feel free to call / get back in case of further clarifications.
Thanking You.
Regards,
Rohit R Sharma
BCOM, FCA, LLB, CERT. FAFP
Hi,
If the rental income is more than 20 Lacs then GST will have to be charged on the same. There is no other option to it.
Regards,
Keerthiga Padmanabhan
M.Com., CA, LL.B
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