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Gst on underconstruction property

166 views 1 replies

Anand Nene

6 Points Joined August 2018

Hello Experts,

I have one Question regarding the GST liability on under construction property, Is there any ruling, GR for the following scenario -

"Service tax is paid on the full agreement Value to the builder prior to July 2017 and still builder is demanding for GST on the Installments paid to him post July 2017."

I am unable to understand, how can one person recover two taxes on the same amount from same person.

Regards,

Anand

Replies (1)

Neljo Davis ACA

Consultant

630 Points Joined October 2008

Both GST and Service Tax cannot be charged on the same transaction. The Miscellaneous transitional provisions under Sec 142(11) of CGST Act, 2017 ensures the same. Even if GST need to be paid, the builder can claim the service tax paid earlier as input credit.