GST not payable on house rented to proprietor for residential purpose – CBIC

GST not payable on house rented to proprietor for residential purpose: CBIC

From the starting of this year i.e. 1st January, GST would not be payable on housing units rented to the proprietor of a proprietary concern for residential usage only, the CBIC has said. The Central Board of Indirect Taxes and Customs (CBIC) also notified amendments in GST rates effective from January 1, 2023 for certain goods and services, as per the recommendations of the GST Council in its meeting on 17 December 2022.

Ethyl alcohol which is supplied to the refineries for mixing with petrol will attract 5 per cent GST from January 1, lower than the 18 per cent currently. Even the tax rate on the pulses has been cut to nil, from 5% to NIL. 

Also the notification further prescribes 12% GST on Fruit Juice bases drinks including the pulp based drinks (but not the carbonated beverages).

The CBIC has also notified that with effect from Jan 1, 2023, no GST would be payable where the residential accommodation is rented to a proprietor of a registered proprietary concern if such accommodation has been rented in his individual capacity to be used as his residence only.