GST exemption for TDR/FSI and lease premiums; promoter pays reverse charge for un booked apartments at completion. Amendment provides a nil GST exemption for the residential share of services by way of transfer of development rights (TDR)/FSI or upfront long term lease payments for construction projects, calculated by apportioning GST on those inputs by the ratio of residential carpet area to total carpet area. Promoters must pay tax on a reverse charge basis for the proportion attributable to residential apartments that remain un booked at issuance of completion certificate or first occupation, subject to capped rates by residential category; liability arises on the earlier of completion certificate issuance or first occupation.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
GST exemption for TDR/FSI and lease premiums; promoter pays reverse charge for un booked apartments at completion.
Amendment provides a nil GST exemption for the residential share of services by way of transfer of development rights (TDR)/FSI or upfront long term lease payments for construction projects, calculated by apportioning GST on those inputs by the ratio of residential carpet area to total carpet area. Promoters must pay tax on a reverse charge basis for the proportion attributable to residential apartments that remain un booked at issuance of completion certificate or first occupation, subject to capped rates by residential category; liability arises on the earlier of completion certificate issuance or first occupation.
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