GST council today approved a transition plan for new goods and services tax rates on residential properties under which developers of under-construction buildings may either opt to shift to the revised lower rates without input tax credit or stick to the previous rates.
Revenue Secretary Ajay Bhushan Pandey told media that for housing projects launched on or after the first of April this year, the developers will have to adhere to the new GST rates recommended by the council last month. Developers can also opt for different GST options for separate buildings in a project depending on if construction started before or after 31st March this year. Mr Pandey added that there will be no revenue loss to the government due to the new GST structure for under-construction housing.
The next GST Council meeting will be held after the Lok Sabha elections. The Revenue Secretary informed that authorities will, however, seek permission of the Election Commission if the need arises for any meeting of the body.
Source :- Newsonair.com