Gst input to customers in real estate projects (villas)

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Aravind (Querist)
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15 May 2019 Hi,
I have a client who deals with construction of villas.
Now project is completed and he is issuing O.C.
So now he want to pass on and repay ITC to customer.
Can any one guide me the procedure to calculate GST ITC and the respective provisions.
Also I need a sample Letter format for getting confirmation from customers saying he received GST ITC amount and the section dealing with it.
Thanks in advance.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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15 May 2019 Cull out ITC claim on this project from GST return and allocate the ITC based on selling price of villas. Issue cheque for Refund of ITC.
As required u/s 171 of the GST Act and Press Release dated 15th June 2017 issued by the Government of India, it has become mandatory for builders/developers to pass on the Input Tax Credit (ITC) benefits to the buyers of under construction flats/ properties.
Obtain ITC receipt letter mentioning the amount with cheque No. and villa number. format you can decide.

Aravind

Aravind (Querist)
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15 May 2019 Thank you very much sir

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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15 May 2019 Welcome...............................................