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Gst on Advance to Rental Building

Sakthivel K (GST / Accountant) (143 Points)

08 February 2023

please confirm gst will be applicable for rental building advance. Whether the payee should deduct TDS or not.

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3 Replies

CA Sorav Gupta (Chartered Accountant) (1005 Points)
Replied 08 February 2023

Yes, GST will be applicable. Secondly, the payee should also deduct TDS.

In case of any further queries, kindly mail me at casoravgupta @ gmail.com

Thanks & Regards
CA. Sorav Gupta
(Practicing Chartered Accountant)

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Sakthivel K (GST / Accountant) (143 Points)
Replied 02 March 2023

Sorry for the late reply...
gst will apply on & for only Turn Over....
Advance to a factory/biz. building is not T.O. or income. So gst will not applicable it seems... Pls share your further views on this...

CA Vidyasagar B (Assistant Manager ) (176 Points)
Replied 04 March 2023

If the rent paid in advance is a refundable security deposit, there is no need to pay GST, however GST is required to pay in the month in which such advances are adjusted by the landlord against rent.

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