Query regarding GST on home loan amount and sales tax on principal amount

Q & A ForumCategory: Real EstateQuery regarding GST on home loan amount and sales tax on principal amount
sanket asked 8 years ago
I had booked my flat before GST was applied and so on principal amount that I paid of 13.50 lakhs approx builder charged around 56k of Sales Tax. After GST was applied my loan got approved and when bank paid builder DD of another 13.75 lakhs, builder charged me with GST of 1.65 lakhs. Is this amount collected fair on their side. I haven't received any GST receipt from builder for amount i paid to him. I have Sales tax receipt of 56k though paid as a part of principal amount.
3 Answers
Sreekanth Staff answered 8 years ago
Hi, I am assuming this property is still under-construction. You have paid part payment before GST was implemented, on that Sales tax is levied, which is correct. If the property is still under-construction and full payment is not yet done, GST is applicable on the remaining payments w,e.f July 2017. So, levying of GST is correct. However, you have the right to get receipt for this payment and such receipts should have the GSTIN number (of builder). Kindly read : https://www.relakhs.com/gstin-goods-and-services-tax-gst/ https://www.relakhs.com/fake-gst-bills-receipts-invoices/  
sanket answered 8 years ago
I have received possession of property and have occupied it from last one month. There is some minor work still pending from builder which is going on though. Also there is new hoardings posted on many areas by builder where its mentioned "GST Free", so incase there is some changes then should I be able to get extra tax paid back?
Sreekanth Staff answered 8 years ago
Hi, For the balance payments done after July 2017, on under construction properties GST is applicable. If GST is not applicable then why did the builder collect from you? If they have collected then you have the right to get the receipt with correct GSTIN number. 
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