GST New Guidelines Released: Tenants have to pay 18% GST!

Narendra Modi led government has released the new guidelines of Goods and Service Tax (GST) from 1st July.

GST New Guidelines: The latest GST rules have been implemented from 1st July 2022. If any new rules come, these are also promulgated into our system.

GST New Guidelines

"If anyone lives in the residential area as tenants, then you will have to pay an additional 18% GST along with your total rent of a particular month". This news is trending on social platforms. Whether the news is real or fake. Let us know below.

"18% GST on total rent has to be paid by tenants", since this news has become viral on Social media all tenants have become anxious about this. The officials of PIB inspected this viral news and concluded that this news is totally fake.

PIB clearly said the news have no basis, if any news regarding GST rules guidelines comes then the news will be passed by the GST Counsel. The Government has also come forth to clear all the confusion regarding GST.

Government Explanation regarding GST

PIB said in a tweet, “Rent of residential units is taxable only when it is given on rent to a GST registered company for carrying on business.” PIB further made it clear that 'If a person takes it on rent for personal use, then no GST will have to be paid on it'.

What is GST Rule?

According to government of India' Sources, If any individual with a purpose of business Renta a residential property, he will have to pay GST tax. Earlier this, if anyone leases an office for commercial use then he has to pay GST on lease. Since the GST news came, the respective people are protesting against the hiked GST interest Rates.

Experts clarification

GST Experts says is any salaried person takes a residential property on rent then he will not have to pay GST. In contrast, if GST registered entity or person running a business takes any residential flat or property then he will have to pay an additional GST on rent to the property owners.