Haryana Revenue Department to share data of Commercial Rent/Lease Deed with Haryana Excise and Taxation Department to curb evasion of GST.
Government of Haryana
Excise & Taxation Department Haryana
Chandigarh, 23rd May 2022
PRESS RELEASE
Haryana Revenue Department to share data of Commercial Rent/Lease Deed with Haryana Excise and Taxation Department to curb evasion of GST
A meeting was held between Sh. Pranab Kishore Das, ACS and FCR & Sh. Anurag Rastogi, Acs (E&T) to discuss the issue relating to evasion of GST in renting of immovable property, other than those rented out for residential purposes.
Under the GST Act, any renting of immovable property, other than those rented out for residential purposes, are chargeable to 18% GST. Therefore, any taxpayer with turnover above Rs. 20 lacs providing renting of immovable services(commercial) are supposed to be registered and pay GST. It has been observed that many individuals and institutions who are renting out properties for commercial purposes are under reporting or not reporting such transactions on which GST is applicable. In order to curb such evasion, the following was decided : –
1. Regular data sharing protocol shall be set up between the Revenue Department and Excise and Taxation Department. This shall include data of the past registered leases.
2. System based checks will be introduced such as recording of PAN/GSTIN of the lessor during purchase of E-Stamp and property registration.
The Haryana Excise and Taxation Department will initiate a special drive against the tax defaulters to recover tax on Commercial Rentals and Leasing.