23 March 2021
SIR - GTA (GST Registered Pvt Ltd Company) wants to do its business in the office which has owned by the director of Company. A company plans to have an lease agreement with its director.
Is it Possible ? If yes, any tax provisions applicable for paying security deposit (Refundable)? Rental bills with GST can be issued by the director (Individual)? Rental bills can be issued on annual basis?
23 March 2021
1)Yes its possible. 2)GST not applicable on refundable& interest free deposit 3)If director supply of services exceeds threshold 20 lakhs he need to register in GST and issue GST invoice 4)Once registered in GST must to file returns every month, so it is advised to charge monthly rent, per annum basis is of no use. Department may not object if bill raised in advance
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