Question ID : 40806

GST Applicability

“A”, real estate company enters into agreement with land owner for purchase of land for Rs.50L and pays advance of say 30 Lacs. Shortly the company finds a buyer for 60 lacs. Sale deed is directly executed by the land owner to actual buyer with the with 'A' as consenting party for Rs. 60Lacs. The buyer pays 20Lacs to land owner and 40 lacs to the real estate company. My queries are 1. Is company liable for GST since what is transferred is not land per se, but only right in the land 2. If the company is liable for GST, is it on 60 lacs or on 10 lacs, being the margin money

posted by Ethirajan on Aug 28 2020 12:00AM