• GST on landlord share

Dear Sir,

Wish you all Happy Makara Shankranthi

I am looking for a urgent clarification on GST.  I have purchased an apartment of LANDLORD share and had applied for Home Loan.  The Loan is sanctioned.  At the time of obtaining the Cost Break-up, the landlord has included GST of 12%.  The Plan for this apartment is sanctioned in 2011 and the Building is completed in 2014, but till date no OC (Occupation Certificate). The apartment of Landowner share is not ready to move, 15% work has to be completed.  The Builder has sold his share and absconding from the market.  The Landlord is now selling his Share.

Now the Bank is asking clarification about how GST has to be taken into consideration, they are asking to submit the GST registration of Landlord, the landlord informs that he is not permitted to register GST.  The owner tells the Builder has paid Sales Tax and Service Tax in 2014 for Landowner share also, when he paid tax for the total apartment.

I am stuck in between can you please help me in giving a suitable remedy for my problem.

Hope I will get remedy from your end at the earliest.  Kindly consider this case on Priority.

Thanks and Regards
R. Suresh

email : sureshblr701@gmail.com
Asked 6 years ago in GST

Hi Suresh,

If the landlord is not registered under GST, how can he charge GST on your flat. Its not as per the law.

Abhishek Dugar
CA, Mumbai
3576 Answers
183 Consultations

4.8 on 5.0

Hello Suresh,

The land lord is correct in charging GST as you have mentioned that the work is still under process. But in order to charge GST, he has to register himself first under GST and then only can he charge GST.

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

Rohit R Sharma
CA, Mumbai
2104 Answers
95 Consultations

5.0 on 5.0

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