GST APPLICABILITY FOR CO OPERATIVE HOUSING SOCIETY

[RAMNIRANJAN KANDOI]

We are running a Co-operative Housing Society registered under the Gujarat Cooperative Societies Act 1961.

We have one land in the name of the Housing Society and as of now there are 11 members in the Society.

Now, we are planning to make the Residential Properties on the land of the society and allot the same to the already members of the Society as well as if any other person wants that flat, we shall allot him by making a member to society.

Our Queries are as follows: -

1) What shall be the GST implications for Services provided by the Housing society to its already members i.e 11 ??

Do we need to take GST registration and pay GST under Housing society as it is providing service to its members ??

2) Will the treatment be same for the other new members also as for the existing 11 members ??

Please support your reply with related GST rules, Sections, notifications or circulars.

AI Summary

GST on housing society services: registration requirement and monthly exemption determine when GST applies and ITC eligibility.
Services provided by a co operative housing society to its members are treated as a supply in the course of business, requiring GST registration if turnover exceeds the statutory threshold. Notification No.12/2017 exempts member contributions for sourcing common goods or services up to Rs. 7,500 per member per month; statutory pass through charges excluded from that limit. If contributions for taxable common services exceed Rs. 7,500, GST applies to the charge in full. Societies exclusively providing exempt supplies or below turnover need not register and may claim Input Tax Credit when tax is paid on inputs.