GST Applicable even if no corresponding service has been provided: AAR

The Applicant is a co-operative housing society registered under the Maharashtra Co-operative Housing Society Act (MCHS Act) having 48 Flats which charges to its members, maintenance charges as per flat towards maintenance and upkeep of its premises.

Advance Ruling:

1. Whether the charges received by the applicant towards upkeep and maintenance from its members are covered under Sec 7 of the CGST Act?

Not answered since the question has been voluntarily withdrawn by the applicant.

2. Whether the receipt of a gratuitous payment from an outgoing member for the time he has resided in the society be taxable under the CGST Act, 2017 as there is no corresponding service being provided separately by the taxpayer society

Answered in the affirmative.

3. Whether major repairs to be made in the future for the co-operative housing society, for which amounts are collected, be taxable at all as it is for the members-only? And if taxable, whether the same is taxable at the time of its collection or whether the same would be taxable on utilization of such funds?

Not answered since the question has been voluntarily withdrawn by the applicant.

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