REAL ESTATE GST LEVY 80:20

[Akash Aggarwal]

Remuneration of Partners and Profit share in a Partnership Firm is to be considered in 80 : 20 Rule for Real Estate Client ? If yes can the same be considered in 80% limit where the partner is a Registered taxable person and if it’s a Yes, whether he is required to Raise an Invoice for the same?

[PAWAN KUMAR]

Remuneration is form of salary and not liable for gst as per my view.

AI Summary

Clarification on GST 80:20 Rule: Partner Remuneration as Salary Not Liable for GST; Invoice Requirement Questioned A query was raised regarding the application of the 80:20 rule under GST for real estate clients, specifically concerning whether the remuneration and profit share of partners in a partnership firm should be included. The question also asked if a registered taxable partner needs to raise an invoice if included. The response provided suggested that remuneration is considered a form of salary and, in the respondent's view, is not liable for GST.