Breaking : GST Council meet Today, Rate Cut for Real Estate to be announced soon

Breaking : GST Council meet Today, Rate Cut for Real Estate to be announced soon

The GST Council is expected to announce reduction in GST Rate for Real Estate sector and for issue of tax rate on lottery.

As per decision made by GSTN Council in it's 31st Meeting, Law Committee and Fitment Committee was formed for Taxation of residential property in real estate sector.

The Committee has decided to recommend 5% GST for under construction properties without ITC. Further the GOM has recommended to levy 3% GST on affordable housing scheme.

At present, GST is levied at 12 per cent with Input tax credit (ITC) on payments made for under-construction property or ready-to-move-in flats where completion certificate has not been issued at the time of sale. However, GST is not levied on buyers of real estate properties for which completion certificate has been issued at the time of sale.

Also Final Call will be taken for GST Rate of Lottery in today's GST Council meeting.

A state ministerial panel was set up to review the tax rate on lottery . The panel has favoured a uniform GST rate of either 18% or 28% and final decision will be taken on same.

Currently, a state-organised lottery attracts 12% GST while a state-authorised lottery attracts 28% tax.

These issues were not implemented in 33rd GST Council meeting as non-BJP ruled states had opposed announcing of these decision.