If you live in a rented house or do any business work in a rented house, then there is a very important news for you, because now people living on rent will also have to pay 18% GST tax.
If you live in a rented house or do some business work in a rented house, then there is a very important news for you, because now people living on rent will also have to pay 18% GST tax. As you know that now bills are made by adding GST to everything, but now 18% GST will be levied on the tenant’s rent as well.
Prashant Sinha, a chartered accountant from Ranchi, the capital of Jharkhand (director of Prashant Accountant and with over 10 years of experience), told Local 18 that last year, in the 47th GST Council meeting, a rule was made that now even tenants will have to pay 18% GST tax, but there are some conditions for this too.
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These people will not have to pay GST.
Prashant Sinha said that the tenant will have to pay 18% GST, but if the tenant lives on rent and uses his house personally, then he will not have to pay GST, but if he pays his rent. If he uses his house commercially and also his business is GST registered, then he will have to pay 18% GST tax.
This is a relief for people who use rented accommodation personally, but if you use it commercially then 18% will be charged, but you can also claim a return of that tax. This means that the tax will also be refunded to you on claiming, hence the tenants do not need to worry much about this.
