GST RATE ON CONSTRUCTION SERVICE, Goods and Services Tax - GST

[Mehul Pandya]

DEAR SIR,

A REAL ESTATE DEVELOPER IS PROVIDING CONSTRUCTION SERVICE OF RESIDENTIAL HOUSES. LAND VALUE IS NOT INCLUDED. SINCE JULY-17 HE IS PAYING 18% GST ON VALUE. SOME BUYERS ARE ALSO GETTING SUBSIDY UNDER PRADHAN MANTRI AWAS YOJANA AS PER THEIR ELIGIBILITY. NOW CONFUSION IS REGARDING GST RATE BETWEEN 18% OR 12%.

PL. GUIDE....

Posts / Replies

[KASTURI SETHI]

GST Rate is 18% if land value included. GST Rate is 12% if land value not included. Notification No.11/17-CT (Rate) dated 28.6.17 as amended (Serial No.3 (if) refers.)

Concessional Rate for Pradhan Mantri Awas Yojana

8% without land value and 12 % including land value. Notification No.11/17-CT(Rate) dated 28.6.17 as amended. (Serial no.3 (ie) refers.

[KASTURI SETHI]

ITC is available in both situations.