Is GST applicable to Co-operative Societies?

The Authority for Advance Rulings (AAR), Maharashtra bench, recently held that GST is chargeable against maintenance charges collected by a cooperative housing society from its members if it is in excess of Rs 7,500/month.

Are societies exempt from GST?

Yes, maintenance charges paid by residents to the Resident Welfare Association are exempt up to Rs. 7,500. In case the amount charged exceeds Rs. 7,500 per month per member, GST is chargeable on the entire amount charged.

Is reverse charge applicable on commission?

Services provided by a broker or a commission agent to the following individuals are covered under reverse charge mechanism: Bank. Financial institution.

Is GST payable on corpus fund?

The Karnataka Authority for Advance Rulings (AAR) has held that such contribution towards the sinking fund (also termed as corpus fund) is not a “deposit”, but in fact, an “advance” for future supply and thus liable for 18 per cent GST. Thus, as per GST laws, it liable to tax.

What is co operative supply as defined in GST?

includes (a) any payment made or to be made, whether in money or otherwise, in respect of, in. response to, or for the inducement of, the supply of. goods or services or both, whether by the recipient or. by any other person but shall not include any subsidy.

Is there GST on commission received?

If you make taxable sales or importations through an agent, you’re responsible for the GST. You can claim a GST credit for the amount of GST you pay as a commission to the agency. The agent must pay GST on the commission that you pay them, regardless of how the purchaser pays for the goods or services.

Does agent commission include GST?

2.2 GST-registered estate agents are required to charge and account for GST on the commission received by them or by their salespersons on behalf of the estate agents. If the salesperson is GST-registered, he is also required to charge and account for GST on the commission received from his estate agent.

What is co-operative supply as defined in GST?

What is GST on society maintenance?

18\%
GST at 18\% is applicable on repair and maintenance funds and sinking funds collected by residents’ welfare association (RWA) or Housing Society if the total value of charges exceeds the threshold limit of Rs. 7500 per month per member, Maharashtra Authority for Advance Ruling (AAR) said.

Is GST payable on commission?

Is Sinking Fund subject to GST?

Therefore, if you are involved in managing the maintenance fund and in the running of a completed development as required under the Building Maintenance and Strata Management Act before a management corporation is formed, you have to charge and account for GST on the maintenance fees and sinking funds collected if you …