Treatment Under GST

[MUKESH SAXENA]

A Person is registered under GST for the Civil Work Contractor services.His main work is purchase the land in different different place in city/village. after purchasing land he build residential house by own amount after completion or incompletion condition of house he sale to consumer with Valid govt.registry. In registry he write area,Rooms,Toilet, Bathroom,etc.He does not receives amount of house in installment but some time receives some amount as advance or after sale of house. But he is not registered in Real Estate Regulatory Authority ACT.

My Query is :- 1- What will be treat this service either Builder or Civil Contractor under GST.

2- What will be apply tax rate on such service

3- will be deposit GST on received advance amount or not

4- can he claim ITC on Purchase building material

AI Summary

GST Classification: Builder or Civil Contractor? Works Contract Service with 18% Rate, Advance GST, ITC on Materials Confirmed. A person registered under GST for civil work contractor services is involved in purchasing land, building residential houses, and selling them to consumers. The individual queries whether this activity should be classified as a builder or civil contractor under GST, the applicable tax rate, GST on advance payments, and eligibility for Input Tax Credit (ITC) on building materials. A respondent clarifies that the service is a works contract service with an 18% tax rate, requiring GST payment on advances based on milestones or sale deed execution, and confirms ITC eligibility for building materials.