TaxTMI 
TaxTMI 
Issues related to GST on monthly subscription/contribution charged by a Residential Welfare Association from its members
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....ed to GST on monthly subscription/contribution charged by a Residential Welfare Association from its members A number of issues have been raised regarding the GST payable on the amount charged by a Residential Welfare Association for providing services and goods for the common use of its members in a housing society or a residential complex. The same have been examined and are being clarified bel....
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....ed to ₹ 7500/- per month per member with effect from 25th January 2018. [Refer clause (c) of Sl. No. 77 to the notification No. 12/2017- Central Tax (Rate) dated 28.06.2017 as amended vide notification No. 2/2018- Central Tax (Rate), dated 25.01.2018] 2. A RWA has aggregate turnover of ₹ 20 lakh or less in a financial year. Is it required to take registration and pay GST on maintena....
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....s More than ₹ 7500/- Yes ₹ 7500/- or less Yes 3. Is the RWA entitled to take input tax credit of GST paid on input and services used by it for making supplies to its members and use such ITC for discharge of GST liability on such supplies where the amount charged for such supplies is more than ₹ 7,500/- per month per member? RWAs are entitled to take ITC of GST paid by them....
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....or example, if a person owns two residential apartments in a residential complex and pays ₹ 15000/- per month as maintenance charges towards maintenance of each apartment to the RWA (₹ 7500/- per month in respect of each residential apartment), the exemption from GST shall be available to each apartment. 5. How should the RWA calculate GST payable where the maintenance charges excee....