See the new rate shall be applicable from 1st April and since the invoice is raised before same then GST payable shall be at the rate of 8 precent in your case.
Invoices raised after 1st april shall be on the rate of 1 percent on affordable housing.
Confused for new GST rates paased on February 2019
Pls note that I have booked 1BHK for the total amt of Rs. 3472000/- (agreement value) inclusive of application fee/adv payment. The total amount is Rs. 4196608/- including GST on agreement value , stamp duty, registration, Possession charges, GST on Possession charges. I had given first chq of Rs. 34720/- ( Booking amount/ application fees) + Rs. 2778/-(GST) on 31.01.2019. I paid Rs. 312480/- (Balance application fees) + Rs. 24998/- (GST) on I also paid Rs. 2,38500/- as stamp duty + registration on and registered said flat on 28.02.2018. Now I am being told to pay Rs. 6,96,000/- (upon execution and registration of agreement) + 55680/- (GST). I want to know whether GST calculated on amount Rs. 696000/- shuld be calculated by 8% (old rate) or 1% (newly revised). My builder is asking me that he has already raised the invoice till Rs. 696,000/- and therefore I need to pay GST of 8% which I have not yet paid and need to pay within 15 days. kindly suggest me the best. .
Asked 7 years ago in Taxation
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9 Answers
It will be calculated till the effective date as per old rate and after that new rate from its effective date
GST has to be paid at 8 per cent on money payable by you for execution and registration of sale deed
2) the new GST rates are applicable from 1st April only
Yes if the invoice has already been raised you have to pay GST on the previous rate but increase invoice date is a 1st March 2019 then you have to pay GST at new rate
Sir, can builder raise invoice, before payment of my cheque, because I have still not paid Rs. 6,96,000/- (upon execution and registration of agreement) + 55680/- (GST) and suppose to pay next week.
Asked 7 years ago
See builder can raise demand and invoice before payment and you need to lay same then the builder shall provide a receipt of payment after you make payment.
1) builder can raise invoice as per terms and conditions of your agreement even before payment of cheque by you
You need to follow the effective govt dates irrespective of his invoice raising date
GST on under-construction flats slashed to 5%, affordable housing to 1% .... Further, the new tax rate will only be applicable from April 1, 2019 .
To boost demand in the real estate sector, the GST Council, on February 24, 2019, slashed tax rates for under-construction flats to five per cent and affordable homes to one per cent, effective April 1, 2019. Currently, the Goods and Services Tax (GST) is levied at 12 per cent with input tax credit (ITC) on payments made for under-construction property or ready-to-move-in flats, where the completion certificate is not issued at the time of sale. For affordable housing units, the existing tax rate is eight per cent.
You may please note that the new rates are effective from 01.04.2019 only hence there is no point in agitating over the issue because the builder has raised the same as per the current rate only.