Is GST applicable on amenities of flat
Rakesh Patil
(Querist) 25 August 2017
This query is : Resolved
Dear sir/madam ,
I had purchased flat in Nagpur last year, basic price is Rs. 26,19,000/-
I had Disbursed amt 25,00,000/ including service tax and vat (5.5%) , remaining amt will be paid on during possession , he also charged me amenities of amt Rs. 300,000/- ,and he had not mention any service tax on quotation on amenities,but now he is charging me 12% GST on amenities. I m refusing to give that extra charge. If there is no service tax on amenities thn y builder forcing me to pay GST .
Please suggest , if any GR is regarding this issue please provide
Ms.Usha Kapoor
(Expert) 26 August 2017
Recently a clarification issued by the Finance Ministry reiterated that the supply of service by RWA, unincorporated body or a registered non- profit entity, to its own members by way of reimbursement of charges up to an amount of five thousand rupees per month per member for providing services and goods for the common use of its members in a housing society or a residential complex are exempt from GST. RWAs will have to pay GST on monthly contributions over than Rs. 5000 per member and if the annual turnover of RWA is over Rs. 20 lakhs. So if your monthly maintenance charges/amenities exceed Rs.5000 only you need to pay GST. Otherwise you refuse to pay the illegal maintenance charges over and above Rs.5000 or Annual turnover of society or RWA is more than Rs.20 lacs..Discuss this byt convening AGM anbd refer to Registrar.
Ms.Usha Kapoor
(Expert) 26 August 2017
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Rajendra K Goyal
(Expert) 26 August 2017
Discuss with some tax consultant or raise your query n CA Club of India.
Dr J C Vashista
(Expert) 27 August 2017
GST is out of ambit of legal experts.