The GST Council is likely to soon clarify that the Real Estate Regulatory Authority (RERA) will not be required to pay Goods and Services Tax (GST), an official said. The last meeting of GST Council was held on October 7, 2023. This exemption was lifted on July 18, 2022, leading to discussions about the tax implications for RERA bodies as well. “Furthermore, in the residential real estate sector, Input Tax Credit (ITC) is not permissible, which means excluding RERA authorities from GST considerations could potentially reduce expenses for both developers and homebuyers. Consequently, a clarification from GST Council on this matter would be significantly beneficial for the sector,” he added.

Source: Hindustan Times February 26, 2024 04:38 UTC