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Rcm on rent of immovable property

ramesh (Accountant) (261 Points)

13 August 2019

Is there any possibility that Rcm in respect of renting of immovable property affect an unregistered person in future?

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4 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (177227 Points)
Replied 14 August 2019

Cannot be envisaged, but not likely to be implemented in near future.

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subhagan sreerangam (7046 Points)
Replied 14 August 2019

Till the time no option,but to be implemented in future.

ramesh (Accountant) (261 Points)
Replied 14 August 2019

We are entering into new rent agreement with a nationalised bank running in our premises. After 10 years of previous agreement, they agreed to increase rent from 30k to 48k from now. What shall I do if they mention in the agreement that Gst has to be paid by owner. Now we are unregistered persons.

CA Arun Chhajer (GST Faculty @ Ministry of MSME Govt of India) (2813 Points)
Replied 15 August 2019

As per Swastika Educonsult View

Not appear to be. However please remember that Supplier should not be Govt as if the property is of govt then it will fall in RCM even in the current date as per section 9(3) read with Notification no 13/2017 (Refer Sr No 5A)