Question ID : 40871

GST on REP

Development agreement entered after 01-04-2019. Construction involves all affordable housing (1% GST). 1) Do builder need to charge Landowner for construction service? If so, what rate? 2) Landowner has no other income. Do landowner need to get registered under GST if he sells his share of under construction apartment.

Yes developer needs to charge gst to the landowner. 2 views exist regarding rate of tax. It can be 1%. If LO sells to customer before completion then GST liability exists whereby registration would be required.