GST On Renting House: After the new amendment in GST, now tenants living on residential properties will also have to pay 18% GST. Which tenants will have to pay GST? Let us know.
GST On Renting House: GST law was implemented in India in the year 2017. This law is an indirect tax imposed on the manufacture, sale and use of goods and services throughout India.
Some slabs have been created in the GST law. Under which the percentage of GST tax has been fixed. That is, what percentage of GST will be charged on an item.
After the new amendment in GST, now tenants living on residential properties will also have to pay 18% GST.
According to GST rules, earlier GST was applicable on renting or leasing office or retail space on commercial property.
But according to the new rules, now tenants living on residential properties will also have to pay GST. But this GST will be collected only from those tenants. Which will be registered under GST.
That is, if a tenant is running his business by taking a residential property on rent. Then he will have to pay 18 percent GST.
According to the rules, the tenant will have to pay tax under the reverse charge mechanism i.e. RCM. Which he can later claim GST.
Also Read-
- Royal Enfield will soon launch 3 new bikes in the Indian market, from Guerrilla 450 to Classic 650 Twin.
- Gratuity rule: Who can avail benefit of gratuity, Know the answer to this question here
- How to increase interest rate in savings account, what is auto sweep facility
We have taken all measures to ensure that the information provided in this article and on our social media platform is credible, verified and sourced from other Big media Houses. For any feedback or complaint, reach out to us at businessleaguein@gmail.com
