Value on commercial building developed on sharing basis

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....alue on commercial building developed on sharing basis<br> Query (Issue) Started By: - Narasimha MurthyR Dated:- 3-3-2025 Last Reply Date:- 19-3-2025 Goods and Services Tax - GST<br>Got 3 Replies<br>GST<br>A developer constructed a commercial complex on development basis with the landowner with share of 50:50. But both the developer and landowner are not selling the constructed complex. After comp....

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....letion of the building, both the developer and landowner are leasing their share of building. In such a scenario, on what value the GST is required to be paid as there is no intention to sale the developed property in the instant case. It is clear that the rate of GST on commercial construction is 18% in terms of the Notification No.11/2017-Central Tax (Rate) as amended. Teh experts may please thr....

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....ough light on this issue Thanks in advance. Reply By KALLESHAMURTHY MURTHY: The Reply: Dear Sir,&nbsp; 1. The developer has provided construction service to the Land Owner. Hence, attracts GST on land owner. The developer has received TDR, on which tax is liable to be paid. 2. Renting of commercial property is considered as a supply of service&nbsp;under the GST Act&nbsp;and is taxable @18%. I....

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....n case the tenant&nbsp;is an unregistered person, the supplier of service has to pay tax under RCM.&nbsp; This is for educational purposes, not a legal opinion.&nbsp; Reply By Shilpi Jain: The Reply: Cost + 10% Reply By Narasimha MurthyR: The Reply: Thank you for your response Murthy ji and Shipi ji. I could not find the authority for valuation of the commercial construction constructed on s....

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....haring basis by the landowner and developer and both of them are not selling any part of the construction.&nbsp; All the scenarios given in the Notification No.11/2017-CT(R) are not applicable to his case. Further Sl. No.5(b) of the Schedule-II excludes the construction in which there is no intention to sell. Can you please provide the authority for the valuation in the above case.<br> Discussio....

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