What is the GST rate for apartments?
Table of Contents
What is the GST rate for apartments?
1. What are the new GST rates on the construction of residential apartments?
| Rate | Description |
|---|---|
| Ongoing affordable housing projects opting for new rates | |
| 5\% | Ongoing other than affordable housing projects |
| New other than affordable housing projects | |
| 1\% | Projects with commercial space <15\% of total carpet area |
Do I have to pay GST on a property purchase?
Flat owners are liable to pay 18\% GST on residential property, if they pay at least Rs 7,500 as maintenance charge to their housing society. Housing societies or residents’ welfare associations (RWAs) that collect Rs 7,500 per month per flat, also have to pay 18\% tax on the entire amount.
Is housing subsidy taxable?
Home loan repayment is eligible for tax deductions under the Income Tax Act 1961. Home loan interest paid up to Rs. 2 lakh per year is tax deductible u/s 24. Section 80C allows deduction against principal repayment of up to Rs.
How is GST calculated for flats?
GST Rate on Flat Purchase 2021 On residential properties that are not part of the affordable housing segment, GST charges on a flat purchase will be paid at 5\% without an input tax credit (ITC). Residential properties included in the affordable housing segment will be subject to a 1\% GST without an ITC.
Is there GST on resale flats?
According to the new GST tax structure, residential projects which have received a completion certificate, or ready to move in properties cannot be classified as a service. Therefore, in the case of resale of such properties, there will be no GST levied.
Is GST applicable for apartment purchase?
GST Rate on Flat Purchase 2021 Residential properties included in the affordable housing segment will be subject to a 1\% GST without an ITC. On residential properties that are not part of the affordable housing segment, GST charges on a flat purchase will be paid at 5\% without an input tax credit (ITC).