GST on Housing complex maintenance

This query is : Resolved

Sunil Verma (Querist)
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04 June 2023 I bought an apartment on 999 year lease in retirement community. Building is under construction and advance maintenance for 15years is given. The promoter has taken 18% GST on maintenance amount even though monthly maintenance is much less than 7500.
Is it legal and correct to apply 18% GST in this case ?
Thanks
Sunil Verma

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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04 June 2023 Not legal.
Lump-sum deposit towards maintenance and Water Charges collected separately from housing society members are not subject to GST: AAR

CA. Bhavik P. Chudasama

CA. Bhavik P. Chudasama (Expert)
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06 June 2023 I would suggest you personally visit any Professional Near you because since the Society is not formed because its under construction Project so Exemption of 7500/- or AAR wont apply because as mentioned by Expert that "collected separately from Housing Society Member's"

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