1. as the booking amount is already disbursed by the bank, the GST on it has become payable

2. so you will have to pay the GST 

3. after that you can cancel the agreement but you will be levied penalty for cancellation as agreed in your agreement and the refund will be processed to you as per the agreement

4. also you need to make applications for refund of stamp duty and registration fee [if the latter is even permitted to be refunded] and the GST paid by you

5. you will also have to bear the loan closure charges of your bank apart from the loan processing fees which you already paid while taking the loan

6. generally banks fund both principal as well the taxes. I am quite surprised why your bank is refusing to pay the GST

You are at liberty to cancel the booking 

2) if you fail to make further payment builder can deduct 10 per cent of booking amount only 

Hello, 

They can just keep the charges towards the administrative expenses and can not in any way forfeit the entire amount. If they do so, then you may file a case against them before MAHARERA and get appropriate order of refund. 

Regards 

I presume your project is registered with RERA 

2) under RERA builder can deduct only 10 per cent of booking amount 

3) stamp duty paid would be deducted by builder 

Hi, if there is a cancellation clause in the agreement , you can seek refund under section 11 of RERA 

You can file complaint before Rera for refund

Splitting of principal due into lesser principal and gst thereon, means there is not gst liability

The cancellation will now be governed by the cancellation terms as agreed in your agreement for sale

Dont believe the words of the call centre employees, they are not the authority. In fact the builder himself cannot say that he cannot refund the booking amount after deduction if the buyer would like to cancel the booking.

You can send the decision to cancel the booking in writing by  registered post to the builder with an acknowledgment card, let him give a reply in writing citing his own rules for not refunding the booking amount, you can drag him to RERA or to the consumer forum for refund and other remedies.

The builder cannot refuse to refund the booking amount after standard deductions.

The stamp duty aid by him cannot be deducted from your booking amount because there was no condition while promising to pay the same by the builder.

In any case you do not have to accept their gimmicks, you may proceed legally against them as per law.