What is the Rate of GST on Rent ?

The Goods and Services Tax (GST) rate on rent depends on whether the rented property is residential or commercial, and whether the landlord is a registered taxpayer.

: If the rented property is used for residential purposes, GST is not applicable on rent. Residential renting services are exempt from GST, regardless of whether the landlord is a registered taxpayer or not.

: If the landlord is an individual or entity not registered under GST, and the property is rented for commercial purposes, GST is not applicable on the rent.

: If the landlord is a registered taxpayer under GST, and the property is rented for commercial purposes, GST is applicable on the rent. The applicable GST rate is 18% (9% CGST + 9% SGST) on the taxable value of the rent.

This is

GST rate for rent

.

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The Goods and Services Tax (GST) rate on rent depends on whether the rented property is residential or commercial, and whether the landlord is a registered taxpayer.

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: If the rented property is used for residential purposes, GST is not applicable on rent. Residential renting services are exempt from GST, regardless of whether the landlord is a registered taxpayer or not.

: If the landlord is an individual or entity not registered under GST, and the property is rented for commercial purposes, GST is not applicable on the rent.

: If the landlord is a registered taxpayer under GST, and the property is rented for commercial purposes, GST is applicable on the rent. The applicable GST rate is 18% (9% CGST + 9% SGST) on the taxable value of the rent.

This is

GST rate for rent

.

Read more

Hey there,

We all know that citizens of India are required to pay taxes for goods that we buy and services that we avail. This acts as revenue for the government, state as well as central. Recently, I found out there was a rent GST rate applied for rent collected from residential or commercially rented  accommodation. I was shocked I didn't know this before. Take a look at my answer if you want to satisfy your curiosity.

According to the latest reports and budget decided by the government, GST on Rent is taxed @ 18% of the Rent paid. This GST includes both CGST and SGST. The CGST component is taxed  @9% . On the other hand, SGST component is set @ 9% These numbers change if the landlord is not registered in the same state where the property is located.

- When a landlord is registered in a different state, the IGST component is set @ 18%.

-Rent GST rate is calculated at an 18% rate on the taxable income the rent collected from leasing a  commercial property .

-GST rate on rent is collected by the owner of the property or the landlord. Since, renting immovable property in India is a taxable service.The tenant is required to pay GST on the rent amount.

I would recommend, you keep an eye on this space to know more updates on rent GST rate.