GST- Maintenance charges for apartments, Goods and Services Tax - GST

[vignesh VSACCOUNTOPRIVATELIMITED]

sir- maintenance charges collected is ₹ 3000/- per month totally 38 flats, but the apartment association is planning for renovation, so it collects ₹ 45,000/- per flat owner! so should they register for GST?

Posts / Replies

[KASTURI SETHI]

Renovation is taxable activity. See the definition of 'Construction' under CGST Act. Registration is required.

[Ganeshan Kalyani]

I agree with the views of Sri Kasturi Sir.

Further, maintenance upto ₹ 7,500/- per month, per member is exempt from GST.

[Shilpi Jain]

For future you could also consider taking a one time corpus fund if possible from the owners, the income from which can be used to cater to the capital expenses. The receipts to this fund would not be taxable.

For this specific transaction you could also check if pure agent conditions would satisfy for GST to be not liable.

[Ganeshan Kalyani]

In my view, threshold limit for registration applies to society as well.