New Delhi, March 28: Leasing of land, renting out buildings as well as EMIs paid for the purchase of under-construction houses will attract the goods and services tax. However, the sale of land and buildings will be out of the purview of the new indirect tax regime. According to tax experts, service tax, at present, is levied on rents paid for commercial and industrial units although it is exempt for residential units. It was thought that GST may be levied on the supply of immovable property such as land or building apart from the levy of stamp duty. Experts said the GST subsumes central levies like excise and service tax and local levies like VAT, entertainment tax, luxury tax.

Source: The Telegraph March 28, 2017 19:42 UTC