Registration for GST

Registration 199 views 9 replies
what's the position if commercial rental is less than rs.20lacs in one state and business in another state and business is registered under GST. Does registration required for rent in the state where property is located ? both commercial property and business are under the same PAN.
Replies (9)

This is something which is not cleared by government in there legislature but what you can do is you can take a registeration for safety purpose as nothing is mentioned in legislature and in the and government FAQ as you have to pay tax on commercial rent as your income is above 20 lakhs

@ Upasana Gupta JI,

my total income is less than rs.20lacs.

annual rental turnover is around rs.5 lacs per year in New Delhi and business turnover over is around rs.1cr in Punjab FOR which I have already taken the GST registration.

Pls confirm do I need 2 separate registration?
Do I need to charge IGST on rent or get myself registered in New Delhi and charge CGST And SGST?
Dear Keshav
How can there be your turnover less than 20 lakh when you write that your rental income is 5 lakh and business turnover in Punjab is around one crore. Pl clarify it. Only then your query can be replied properly.
Dear Chhatra Singh Dugar,

Sir this is the clarification I want.

Rental income is less than rs.20lacs from another state which is New Delhi.

Business is based in Punjab. for which I have already registered in Punjab.

Both are under One PAN.

My query is

Do I require separate registration for renting a commercial property. Or there is exemption upto rs.20lacs. Or my rental will be clubbed with my business turnover.

In which state do I need to be registered for renting a commercial property.?
Dear Keshav

Your queries are replied as under -

For calculation of your total turnover all supplies of goods and services are to be clubbed whether taxable or exempt. In your case your total supplies come to 1 crore + 5 Lakh which is 1.05 Crore. So on 5 lakh of rent you have to pay IGST @ 18% which comes to 90000/ You have to raise Invoice from Punjab to you tenant in New Delhi, as you are Punab based.

It is not advisable to get separate GST no in Delhi for the property. In case you opt for separate no in Delhi even than your tax liability for property will be same as ninety thousands. Only difference is that if raise bill in Delhi you will have to charge CGST +SGST both @ 9%. instead of IGST. in both cases tax will go to Delhi Govt and Central Government. But unnecessarily you will have every month and lot of paper work.

I think matter is clear now.
Sir legally what should be done?
Tax amount is going to be same.
PLace of supply is New Delhi. But if I charge from Punjab then it's IGST and if I charge from DELHI it's CGST and SGST and paid accordingly. I want to know what should be done legally which is right.
Received your mail. As written best option for you is to raise rent bills from Punjab and do not burden yourself of extra paper work by opting for new GST no. in Delhi.

I am Delhi based. For any query. you may mail me giving y our mob no.
Received your mail. As written best option for you is to raise rent bills from Punjab and do not burden yourself of extra paper work by opting for new GST no. in Delhi.

I am Delhi based. For any query. you may mail me giving y our mob no.
keshavkakar @ hotmail.com
9888216543.


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