TaxTMI 
TaxTMI 
Sir.One person leases his commercial building for a long term lease of 15 years for an amount of Rs 10 lakhs. Whether there is any GST liability for the amount on the part of lessor and lessee. If payable whether it is payable in the first year itself or over a period of 15 years on proportionate basis?.GST rate for the above activity? Can you please clarify.
Immovable property given on lease
VIGNESH
GST on 15-Year Lease: Immediate Full Payment or Proportionate Over Term? Contract Terms Crucial for Classification. A discussion on a forum addresses the Goods and Services Tax (GST) implications of a 15-year lease agreement for a commercial building, with an upfront payment of Rs 10 lakhs. The main question is whether GST is payable immediately on the entire amount or proportionately over the lease term. One expert suggests GST at 18% is due on the full amount at the time of receipt, based on contract terms. Another contributor agrees, emphasizing the need to classify the payment as either 'advance' or 'deposit' under GST rules. The discussion highlights the importance of contract terms in determining GST liability. (AI Summary)