GST applies to reserved housing flats transferred under inclusive housing obligations, with value based on comparable market sales.

GST applies to reserved housing flats transferred under inclusive housing obligations, with value based on comparable market sales.Case-LawsGSTTransfer of MHADA-reserved flats after the occupancy certificate was held taxable as works contract service, …

GST applies to reserved housing flats transferred under inclusive housing obligations, with value based on comparable market sales.
Case-Laws
GST
Transfer of MHADA-reserved flats after the occupancy certificate was held taxable as works contract service, not a GST-exempt sale of immovable property. The post-completion exclusion did not apply because the applicant had undertaken a binding pre-approval obligation to construct and transfer the earmarked flats, and received additional FSI as non-monetary consideration in return. Since GST consideration includes non-cash benefits, the supply was not wholly post-occupancy and remained within Schedule II. For valuation, the Authority held that the price paid by MHADA allottees was not the sole consideration and that the MHADA-administered rate was not open market value. GST value had to be based on comparable flats sold to non-MHADA buyers in the same project.
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