TaxTMI 
TaxTMI 
2019 (10) TMI 1020
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....ST Act, 2017 and Section 97 of the KGST Act, 2017, in FORM GST ARA-01 discharging the fee of Rs. 5,000-00 each under the CGST Act and the KGST Act. 2. The Applicant is a Limited Liability Partnership and is registered under the Goods and Services Act, 2017. The applicant states that in the recent recommendation of GST Council in its 34th meeting held on 19.03.2019 regarding the construction service, new rates of taxes were made available, 1% without ITC on construction of affordable houses and 5% without ITC on construction of- a) All houses other than affordable houses in ongoing projects whether booked prior to or after 01.04.2019. b) All houses other than affordable houses in new projects c) Commercial apartments such as shops, of....
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.... with 60:40 share, the LLP being entitled to 60% and the owners of the land to 40% of the built up area. 4. The applicant is of the view that the new rates of taxes recommended for housing projects are also available to their project of developing commercial complex. 4.1 The applicant, as a construction service provider, is eligible to utilise the ITC relating to the construction activities against the output tax payable on renting of commercial space. 4.2 The applicant states that they are providing accommodation to students. The lodging or boarding services provided by the educational institutions is exempted from GST. The paying-guest accommodation is provided exclusively to students and it is a service related to education of the stu....
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....downers and the same is offered to the applicant for development of a commercial property (b) The applicant shall construct the project in the property (c) The landowners shall be entitled to 40% of the built area with 40% share in the land and they are entitled to hold or sell, lease or otherwise dispose of their share of the built area along with 40% of the undivided interest in the property (d) The applicant who is the developer, shall be entitled to 60% of the built area with 60% share in the land and is also entitled to hold or sell, lease or otherwise dispose of their share of the built area along with 40% of the undivided interest in the property. (e) The entire cost of construction of the property shall be borne by the appli....
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.... supply of works contract construction service to the landowner to the extent of construction of building of the landowner share (b) The supply of works contract services to the prospective purchasers of constructed building with land in case he desires to supply the constructed building before completion to the prospective purchasers The applicant is also receiving the supply of development rights from the landowners. 4.5 Notification No.11/2017 - Central Tax (Rate) dated 28.06.2017, as amended by Notification No.3/2010 - Central Tax (Rate) dated 29.03.2019, is examined and the following points emerge: (a) The subitem (ib) of item 3 of the Notification is not applicable to the applicant as the project is not a Residential Real Estat....
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....ation and Development) Act, 2016 (16 of 2016) defines the "Real Estate Project" as under: "(zn) "real estate project" means the development of a building or a building consisting of apartments, or converting an existing building or a part thereof into apartments, or the development of land into plots or apartment, as the case may be, for the purpose of selling all or some of the said apartments or plots or building, as the case may be, and includes the common areas, the development works, all improvements and structures thereon, and all easement, rights and appurtenances belonging thereto." Since the applicant is not intending to sell any of the said commercial area, the project undertaken by the applicant cannot be covered under a "Real....