Dear Sir/Mam,
I am a proprietor registered under GST. I have given a commercial property on rent. Can I adjust output rent with ITC from business ??
2)If a Landlord does not take Rent from Tenant for commercial property for 3 months i.e. (April to June) , then whether Landlord is required to pay GST on due basis ??
Frah Saeed Answered question August 2, 2020
- In our view , NO as ITC related to business is not related to provision of renting services.
- The time of supply is attracted on issuance of invoice or date of supply (if invoice not issued within 30 days) or date of payment. Considering that supply would be completed at month end normally as per rent agreement. The TOS will be attracted within 30 days of end of month. Thus GSt would be required to paid. may be the solution could be cancellation of rent agreement and entering into fresh agreement after normalcy.
Team Clearmytax.in
Frah Saeed Answered question August 2, 2020