Registration requirement
If the aggregate turnover of such RWA is up to Rs.20 Lakh in a financial year, then such supplies would be exempted from GST even if charges per member are more than Rs. 7500
Exemption Limit
RWA shall be required to pay GST on monthly subscription/contribution charged from its members if such subscription is more than Rs. 7500 per member and the annual turnover of RWA by way of supplying of services and goods is also Rs. 20 lakhs or more.
Input Tax Credit (ITC) Allowed
If the Society becomes liable to pay GST, it is allowed to take Input Tax Credit under Sec 16 (1) of CGST Act subject to conditions for taking the input tax credit. Housing Society is entitled to ITC in respect of taxes paid by them on capital goods (generators, water pumps, lawn furniture etc.), goods (taps, pipes, other sanitary/hardware fillings etc.) and input services such as repair and maintenance services – Lift AMC, Housekeeping, Security, Fire AMC, Repairs & Maintenance, Contract staff, Accounting & Auditing Services and other such services.
ITC of Central Excise and VAT paid on goods and capital goods were not available in the pre-GST period and these were a cost to the RWA.
TAX RATE APPLICABLE ON RWA
As per Notification No. 11/2017-Central Tax (Rate) for services related to Services furnished by business, employers and professional organizations Services, Services furnished by trade unions & Services furnished by other membership organizations falling under SAC 9995 the Central Tax Rate is 9%. Similar Provisions are made under SGST Acts also. Therefore there will a levy of 18% (CGST @ 9% + SGST @9%).
Composition Scheme
Housing Society is not eligible for Composition Scheme.
RETURNS AND DUE DATES
All the Registered Persons (Normal Registration) will have to file 3 returns in a month.
GSTR – 1 by 10th of the following month – Towards Outward Supply (Maintenance Charges)
GSTR – 2 by 15th of the following month –Towards Expenses Side and
GSTR – 3 by 20th of the following month – Monthly consolidated return and
GSTR – 9 by 31st December of the Following Year.
GSTR-3B Return
GSTR-3B return will have to be filed by all taxpayers in addition to GSTR-1, GSTR-2 and GSTR-3 return. Earlier, GSTR-3B returns were to be filed for the month of July to December 2017.
IN the 23rd council meeting, it has been announced that the GSTR-3B return must be filed for all months from July 2017 to March 2018. The due date for the GSTR-3B return will be the 20th of every month.
FEE FOR LATE FILING OF GST RETURN
When a Registered Dealer misses filing GST Returns within DUE DATE late fees is levied by the government.
If GSTR-1 is not filed within the due date you will be liable to pay late fees of Rs. 200 per day of delay
Records and Accounts
Maintain proper Records of Supply & Expenses and preserve such records for 72 Months.
LATEST UPDATES
- 25th GST Council Meeting enhances the exemption limit of Rs 5000/- per month per member to Rs 7500/- in respect of services provided by Resident Welfare Association (unincorporated or nonprofit entity) to its members against their individual contribution.
- The late fee for delayed filing of GSTR-1 is being reduced to Fifty Rupees per day and shall be Rupees Twenty Five in case of Nil returns.
