GST on Cooperative Housing Societies
Levy of GST @18% on their own monthly contribution of more than 5000 Rupees per month by Members towards common expenses is causing avoidable hardship to housing Societies. With rising prices maintenance expenses of Housing Societies are increasing requiring a higher contribution from Members. However to levy a GST of 18% on their contribution as maintenance charges is very unfair.
Cooperative Housing Societies are run on principle of Mutuality and common services provided by Society to members are not for commercial purpose or profit. Members are simply sharing the expenses incurred on Security, Housekeeping, Repairs, Electricity Charges etc.
Housing Societies are not Business Enterprises having a turn over.
Cooperative Housing Societies were exempted from Service Tax.
GST Rates Schedule under heading "Service Tax Exemptions to be continued in GST as decided by GST Council" reads as under for housing society:
(c) up to an amount of five thousand rupees per month per member for sourcing of goods or services from a third person for the common use of its members in a housing society or a residential complex.
Even the heading of GST Rates Schedule says "Service Tax Exemptions to be continued in GST as decided by GST Council"
Therefore we request Local Circles to take up with GST Council, the issue of exempting Cooperative Housing Societies from GST without specifying the limit on monthly contributions from Members. more
Cooperative Housing Societies are run on principle of Mutuality and common services provided by Society to members are not for commercial purpose or profit. Members are simply sharing the expenses incurred on Security, Housekeeping, Repairs, Electricity Charges etc.
Housing Societies are not Business Enterprises having a turn over.
Cooperative Housing Societies were exempted from Service Tax.
GST Rates Schedule under heading "Service Tax Exemptions to be continued in GST as decided by GST Council" reads as under for housing society:
(c) up to an amount of five thousand rupees per month per member for sourcing of goods or services from a third person for the common use of its members in a housing society or a residential complex.
Even the heading of GST Rates Schedule says "Service Tax Exemptions to be continued in GST as decided by GST Council"
Therefore we request Local Circles to take up with GST Council, the issue of exempting Cooperative Housing Societies from GST without specifying the limit on monthly contributions from Members. more
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Sir, Once you accept the concept of service Tax you have to explain why the rate of tax is unfair to a category. That has not been explained. Mere statement that it is not fair is not enough at all. I wonder therefore how can someone who is not directly affected by it would support it? RYK. On Mon, 04 Sep 2017 11:51:53 +0530 "MOHIT PANDE" wrote > more
Sep 06
Society sud deduct, from 18%, GST charged by other service provider to society and only balance sud b recovered from members. more
Sep 05
I entirely agree . The Housing Society is by and large , non profit making Organisation . To ask them for further Tax is a big burden on the residents . This should be totally avoided . Why not Govt cut down wasteful expenditures and leakages . There is no purchase and Sale amongst the members and hence GST should be kept out of this . You can not keep on taxing same residents under multiple heads more
Sep 05
We have submitted a petition to the CJ of Mumbai HC and shortly petitioning the CJI. Service tax tribunal has ruled that Service Tax is not applicable to CHS. On similar lines plus other points are raised in our petitions more
Sep 19
I totally agree that on the grounds mentioned above by S/shri Santosh Belavadi and Gopalswamy Bhaskar, It would be INJUSTICE of the highest level to impose GST on Co. operative Housing Societies. It gives rise to the feeling that proper planning has not been done in the finalization and implementation of the scheme. more
Sep 10
We are filing a PIL in the mumbai high court shortly. Service Tax tribunal has ruled Service tax is not applicable to CHS and hence CHS were not paying service tax. On the same ground we will get relief. Spread this message and file PIL. Join as many CHS committee members more
Sep 08
Basically the services/activities which were not taxed earlier,should not be taxed in the name of G S T.This is increasing load on poor /senior citizens. more
Sep 05
I strongly support Mr. Mohit Pande. Weshould fight against this GST of 18% actually it should be zero% more
Sep 05
