For an under construction residential flat, What are the GST rates applicable on various components such as Basic sale price which includes land cost and construction cost, floor PLC, view PLC, corner PLC, external development charges, international development charges, fire fighting charges, one time power back up charges, car parking charges, club membership charges, IFMS charges, lease rent charges etc.
The said property is located in Yamuna Expressway Industrial Development Authority area.
If the carpet area of the flat is more than 60sq.mtr. but less than 90sq.mtr. with total flat cost less than 45 lakhs as per agreement, whether it will qualify for an affordable housing unit for which GST rates is a mere 1%.
Hey @NAVEEN_KUMAR1,
Welcome to the community!!
GST is leviable on under-construction real estate projects at the rate of 1% in the case of affordable residential buildings, 5% in the case of non-affordable residential buildings, and 12% in the case of commercial buildings, calculated on the total consideration charged by the developer.
The taxable value generally includes the basic sale price comprising construction cost, preferential location charges (such as floor PLC), development charges, and other allied charges forming part of the consideration for supply of construction services (land cost is not included for GST chargeability).
In your case, since the carpet area of the residential unit exceeds 60 square metres but does not exceed 90 square metres (since the project is located in non-metro city), and the total consideration as per the agreement is less than ₹45 lakh, the said unit satisfies the prescribed criteria for affordable residential housing under GST law. Accordingly, the supply of construction services in respect of the said unit would be liable to GST at the concessional rate of 1% (without input tax credit).
Hope this helps!