ITC Real estate

[VishnuPriya R]

In case of sale of underconstruction commercial property, the GST rate is 12%. In such can ITC be availed for the construction of the particular commerical Property?.

Thanks in advance

AI Summary

Input Tax Credit Eligibility for Under-Construction Commercial Properties Under 12% GST Discussed; Section 17(5)(d) Referenced A query was raised regarding the availability of Input Tax Credit (ITC) for the construction of an under-construction commercial property, which is subject to a 12% GST rate. One respondent referred to Section 17(5)(d) of the CGST Act and a Supreme Court judgment in the Safari Retreat Pvt Ltd case. Another participant noted that the sale of such property is considered a works contract service, allowing credit for construction expenses. Several contributors agreed with this interpretation but emphasized that these views should not be taken as professional advice.