Question ID : 38025

GST on Underconstruction Property

A person had booked flat around one year back with a Construction company and has paid 60% of payment already alongwith GST @12% Now wef 01-04-2019 GST rate has come down to 5% without input credit. Whether he has to pay remaining amount with GST @ 5%

New Rate Shall apply as u/s 14 of CGST Act, we will have to Consider three factors - Date of Supply, Invoice and Payment. And Rate shall be decided based on any two factors falling Before or After the date of change of rate. Generally, in most of the cases two out of three factors will fall after date of change, since payment is usually linked to completion of a milestone.