So GST has to be paid on the amount of consideration received from buyer. And the GST is to be calculated at 18 percent on 2/3 of total consideration received.
Also kindly clarify your question what exactly you want ???
Want to sell my property in Hyderabad
We had old constructed in 1970 in Ramahapuram, It was given for the development in the year 2013/14, under sharing builder 55 % Land owner 45 %,. total six flats were built and were divide 3 to each builder 7 owner. Now the owner wants to sell the his quota of flats, for one flats both builder 7 owner has to sign the documents. the value of the of the flat is fixed at 36 lashs, the market value is about 16 laks, the builder says he has to pay tax , how to proceed , let me know.
Asked 7 years ago in Property Law
Religion: Hindu
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9 Answers
Hi, the owner can sell his share of the flat without interference of the builder
supplementary sharing agreement between builder and landowner has to be registered
2)for sale of flat stamp duty has to be paid as per sale consideration mentioned in sale deed
3) sale price cannot be lower than circle rate of the flat
Hello,
You should take a NOC from other co-sharer and proceed to sell it to outsiders .
Regards
1. The development agreement should have been made in such a way that both the owner and builder could sell their shares of the constructed flats independently.
2. However, in the instant case, if the circle rate of the flats have been fixed at Rs. 36 lakhs then the stamp duty shall have to be paid considering the price as Rs.36 lakhs even if the owner paid Rs. 16 laks.
3. In the instant case, it is not the builder or the land owner but the buyer who shall have to pay the income tax on the difference of the amount between the circle rate and the actual price paid i.e. Rs.36 lahs less Rs.16 laks = Rs.20 lakhs which will be considered as profit earned by the buyer from the deal..
First I advice you to go for the circle rate again.
Then it is good for you to sell it at this price also.
As there is no bar if you are gettting higher price for the same, and no body would put question for the tax also as it is the wish sometimes of a person to invest his money in any manner.
Hi,
The second para of the question is not clear and you are suggested to clarify it.
In my opinion, if this was a joint development agreement, then the builder may not be selling the property as a owner, h might have got GPA from the owner to sell the flats.
Please confirm.
The owner only has to bear the applicable income tax for long term capital gains.
What kind of tax is the builder demanding from the buyer?
If at all the builder has to pay the tax, what is your concern in it, let him pay.
There is no rule or law that the buyer has to pay tax while purchasing the property.
Actually what is your query, be a little elaborate
Still even after payment taxes the amount can't go double. There is something fishy in the same. First appointment a project management consultant if you haven't appointed. He will guide you the exact implications. Then if the builder is not agreeing you need to approach Court.
