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GST on rent collected from a person registered in other state

sampad mohanty (professional) (306 Points)

23 August 2022

I have let out my building to a person having GST number in other state. Should I collect GST under IGST?

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5 Replies

prasad Nilugal ( GST Practitioner & Accounts ) (14690 Points)
Replied 23 August 2022

Is it residential dewlling , which is let out in other state?.

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CS Advocate Abhishek Goyal (M Com FCS LLB M-AIMA ) (13674 Points)
Replied 23 August 2022

In case of rental services of an immovable property, POS is the location of that property. so if your property in question is situated in the same state as yours then as per the POS provisions you will be charging C+S and if property is located in some other state than, IGST will be applicable.

CS Advocate Abhishek Goyal (M Com FCS LLB M-AIMA ) (13674 Points)
Replied 23 August 2022

And this is only applicable for commercial property as residential dwelling continue to be exempt only thing is RCM in case of registered tenant.

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sampad mohanty (professional) (306 Points)
Replied 23 August 2022

I have a building at Kolkata and let out for office. I have taken GST number in West Bengal. However the tenant takes registration number in Delhi and asking me to give GST under IGST as he does not want to take GST number in West Bengal. Should I give IGST ?

CS Advocate Abhishek Goyal (M Com FCS LLB M-AIMA ) (13674 Points)
Replied 13 October 2022

No IGST cannot be charged in view of clear POS rules which provide that in your case the property you rented is situated at West Bengal only that is Kolkata hence C+S will be charged.