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TMI BlogGST on Housing SocietyX X X X Extracts X X X X X X X X Extracts X X X X ..... XYZ Cooperative Society is having commercial units. XYZ not registered with GST since per member contribution is less than ₹ 7500/- per member. XYZ undertaking repairs of society and per member amount to be recovered from each member ₹ 1 to 2 Lakhs. Is XYZ required to register with GST and charge GST to each member on the amount of repairs recovered? - Reply By Rajagopalan Ranganathan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - The Reply = Sir, According to Section 7 (1) (aa) of CGST Act, 2017 as inserted by Section 108 of Finance Act, 2021 with effect from 1.7.2017 the activities or transactions, by a person, other than an individual, to its members or constituents or vice-versa, for cash, deferred payment or other valuable consideration amounts to supply and hence liable to GST. Therefore the answer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to your query is yes and XYZ is required to register with GST and charge GST to each member on the amount charged and recovered for repairs. - Reply By Ganeshan Kalyani - The Reply = In my view registration is not required because even though supply definition constitutes it a as supply but exemption notification provides that if contribution of each member is not more that 7500 then society is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not liable to GST. - Reply By A SUBRAHMANYAM - The Reply = Registration is essential only when the maintenance charges are 7,500/- and above. The one-time repair charges are not maaintenance charges, and hence, no need of GST Regn. - Reply By Shilpi Jain - The Reply = The 7000 Fahrenheit exemption is eligible only for a housing society or a residential complex and not for commercial units ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - Reply By Shilpi Jain - The Reply = So registration would be required once the total aggregate turnover exceeds the threshold limit - Reply By A SUBRAHMANYAM - The Reply = 1) Regarding the threshold limit vis-a-vis contribution from each unit/member, please refer to Srl No. 2 and 4 of table appearing in Ministry's Circular No. 109/28/2019- GST dt. 22/07/2019 ; 2) 7,500/- limit is for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... member.......no distinction between residential or commercial unit in the Society . Kindly refer to the definition of person under Section 2(84)(i) and 2(84)(l) of CGST Act . Accordingly, Society is a person, and when it collects from its members as per the prescribed monetary limit is taxable under GST Law. As such, all Member-based Societies registered as Society are non-profit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... organisations only unless assessed under Income Tax Act for any business profits/Commercial activity related profits. - GST on Housing Society - Query Started By: - Kaustubh Karandikar Dated:- 18-11-2021 Goods and Services Tax - GST - Got 6 Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanageme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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