https://www.taxtmi.com/forum/issue?id=112096 Compensation for delay in possession is a taxable service rather than goods, and when paid by an unregistered customer the developer must pay GST under the reverse charge mechanism. Tax paid under reverse charge is claimable as input tax credit where the service is used or intended to be used for furtherance of business; in the developer's circumstances the compensation facilitates project completion and thus ordinarily satisfies the business-purpose requirement for credit. en-us Tue, 20 Jun 2017 06:04:24 +0530 Thu, 23 Jan 2025 15:55:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=112096 Compensation for delay in possession is a taxable service rather than goods, and when paid by an unregistered customer the developer must pay GST under the reverse charge mechanism. Tax paid under reverse charge is claimable as input tax credit where the service is used or intended to be used for furtherance of business; in the developer's circumstances the compensation facilitates project completion and thus ordinarily satisfies the business-purpose requirement for credit. Discussion-Forum GST Tue, 20 Jun 2017 06:04:24 +0530 https://www.taxtmi.com/forum/issue?id=112096