Activities or Transaction Excluded from Supply - Para 5 of Schedule III [Read with Section 7(2)]

Sale of land exclusion under GST clarified; developed plots excluded while leasing and development services are taxable supplies.

Para 5 of Schedule III excludes sale of land and, subject to completion-certificate or first-occupation timing, sale of building from supply; receipt of consideration before those milestones renders a building transaction a supply. Developed plots are treated as land and excluded, while development services are taxable. Rental, leasing and licensing of land or buildings constitute supply. Transfer of tenancy rights is not covered by the Schedule III exclusion. An authority ruling treated a long-term lease for premium as a taxable lease rather than sale.