A GST registered person wishes to lease out the coffee estate instead of himself exploiting the same. My doubt is whether GST is payable on such lease / rental income from the agricultural property. For purpose of Income Tax, the rental income can also be treated as “agricultural income”. Whether this will help us to take a stand that it is not a business activity.
Experts may also give their opinion whether I can take shelter under AAR in the case of The Cochin Plantations Ltd-2018 (11) TMI 280 dated. 20.10.2018 (AAR-Kerala)
GST Applicability on Coffee Estate Leasing: Is Rental Income Exempt as Agricultural Income? A GST-registered individual inquired about the applicability of GST on leasing a coffee estate, questioning whether such rental income, considered 'agricultural income' for income tax purposes, could be exempt from GST as a non-business activity. The individual referenced a previous case involving The Cochin Plantations Ltd for guidance. A respondent pointed out that the query had been previously addressed, and the original poster acknowledged the oversight, noting that the matter is now set to proceed. The exchange served as a reminder of the importance of revisiting past discussions for clarity. (AI Summary)
TaxTMI 
TaxTMI 
