{"id":91078,"date":"2026-11-14T05:30:00","date_gmt":"2026-11-14T00:00:00","guid":{"rendered":"https:\/\/www.taxaj.com/learn\/?p=91078"},"modified":"2026-11-14T05:30:00","modified_gmt":"2026-11-14T00:00:00","slug":"gst-on-flat-purchase-kolkata-under-construction","status":"publish","type":"post","link":"https:\/\/www.taxaj.com/learn\/gst-on-flat-purchase-kolkata-under-construction\/","title":{"rendered":"GST on Flats in Kolkata: 1% on Affordable Housing, 5% on Other Under-Construction Flats, None on Ready-to-Move"},"content":{"rendered":"<p class=\"wp-block-paragraph\"><strong>Buying an under-construction flat in Kolkata attracts GST of 1% of the agreement value for an affordable flat and 5% for other residential flats, both without input tax credit to the builder. An affordable flat in Kolkata, as a metropolitan city, is one with carpet area up to 60 square metres and value up to \u20b945 lakh. A ready-to-move flat sold after the completion certificate is issued carries no GST at all.<\/strong> Stamp duty is charged separately at registration, and the buyer must deduct 1% TDS if the price is \u20b950 lakh or more.<\/p>\n<h2 class=\"wp-block-heading\">GST on residential flats<\/h2>\n<figure class=\"wp-block-table\">\n<table>\n<thead>\n<tr>\n<th>Flat<\/th>\n<th>GST (effective)<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Affordable: carpet up to 60 sq m in Kolkata and value up to \u20b945 lakh, under construction<\/td>\n<td>1%<\/td>\n<\/tr>\n<tr>\n<td>Other residential flats, under construction<\/td>\n<td>5%<\/td>\n<\/tr>\n<tr>\n<td>Ready-to-move, sold after the completion certificate<\/td>\n<td>No GST<\/td>\n<\/tr>\n<tr>\n<td>Resale flat bought from an individual owner<\/td>\n<td>No GST<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<p class=\"wp-block-paragraph\">These effective rates already allow a one-third deduction for the value of land. Builders cannot claim input tax credit on residential projects under these rates.<\/p>\n<h2 class=\"wp-block-heading\">Extra charges<\/h2>\n<ul class=\"wp-block-list\">\n<li><strong>Car parking, club membership, preferential location charges:<\/strong> if charged with the flat as part of one agreement, they generally take the flat&#8217;s rate. If billed separately as an independent service, they may be taxed at 18%.<\/li>\n<li><strong>Maintenance deposit and corpus:<\/strong> check the agreement; maintenance services by an association are taxable only above thresholds.<\/li>\n<li><strong>Electricity and transformer charges:<\/strong> usually part of the flat price.<\/li>\n<\/ul>\n<h2 class=\"wp-block-heading\">Commercial units<\/h2>\n<p class=\"wp-block-paragraph\">Shops and offices in a residential project, or commercial projects, are taxed differently from homes. Check the rate in the agreement before booking.<\/p>\n<h2 class=\"wp-block-heading\">Stamp duty and registration<\/h2>\n<p class=\"wp-block-paragraph\">GST is paid to the builder during construction; stamp duty and registration fee are paid at registration on the market value. See our guide to <a href=\"https:\/\/www.taxaj.com\/learn\/stamp-duty-kolkata-west-bengal-2026\/\" target=\"_blank\" rel=\"noopener\">stamp duty in Kolkata<\/a>.<\/p>\n<h2 class=\"wp-block-heading\">TDS on purchase<\/h2>\n<p class=\"wp-block-paragraph\">If the flat price is \u20b950 lakh or more, deduct 1% TDS from each payment to the builder (or seller) and deposit it with Form 26QB. GST is not part of the value for TDS when shown separately, under CBDT&#8217;s clarification. If you buy from an NRI seller, different TDS rules apply.<\/p>\n<h2 class=\"wp-block-heading\">Check the project on WBRERA<\/h2>\n<p class=\"wp-block-paragraph\">Before booking, verify the project&#8217;s registration, approvals and progress on the WBRERA portal. See our guide to <a href=\"https:\/\/www.taxaj.com\/learn\/wbrera-registration-west-bengal-projects-agents\/\" target=\"_blank\" rel=\"noopener\">WBRERA registration<\/a>.<\/p>\n<h2 class=\"wp-block-heading\">FAQs<\/h2>\n<h3 class=\"wp-block-heading\">What is the GST on an under-construction flat in Kolkata?<\/h3>\n<p class=\"wp-block-paragraph\">5% for most flats, or 1% for affordable flats with carpet up to 60 sq m and value up to \u20b945 lakh.<\/p>\n<h3 class=\"wp-block-heading\">Is GST charged on a ready-to-move flat?<\/h3>\n<p class=\"wp-block-paragraph\">No, if it is sold after the completion certificate is issued.<\/p>\n<h3 class=\"wp-block-heading\">Can I get a refund of GST paid on a flat?<\/h3>\n<p class=\"wp-block-paragraph\">No, GST on flats is a cost to the buyer; the builder cannot pass on input tax credit.<\/p>\n<p class=\"wp-block-paragraph\">TAXAJ helps homebuyers in Kolkata with agreement review, TDS on property, stamp duty and home loan tax benefits. Talk to our <a href=\"https:\/\/www.taxaj.com\/ca-in-kolkata\" target=\"_blank\" rel=\"noopener\">Kolkata team<\/a>.<\/p>\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/wa.me\/918802912345?text=I%20am%20buying%20a%20flat%20in%20Kolkata%20and%20need%20tax%20help\" target=\"_blank\" rel=\"noopener\">WhatsApp our Kolkata team<\/a><\/div>\n<div class=\"wp-block-button is-style-outline\"><a class=\"wp-block-button__link wp-element-button\" href=\"tel:+918802812345\">Call 88028 12345<\/a><\/div>\n<\/div>\n<p class=\"has-small-font-size wp-block-paragraph\"><em>Last updated 11 November 2026. Sources: Notification 11\/2017-Central Tax (Rate) as amended by Notification 3\/2019 (real estate rates from 1 April 2019); Income-tax law on TDS on transfer of immovable property and the CBDT circular on GST exclusion. General information only.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>GST for homebuyers in Kolkata: 1% on affordable flats (carpet up to 60 sq m in Kolkata and value up to \u20b945 lakh), 5% on other under-construction residential flats, no GST on ready-to-move flats with a completion certificate, parking and extra charges, and stamp duty and TDS.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"_kad_post_classname":"","footnotes":""},"categories":[974,8],"tags":[],"class_list":["post-91078","post","type-post","status-publish","format-standard","hentry","category-gst","category-legal-ipr"],"_links":{"self":[{"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/posts\/91078","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/comments?post=91078"}],"version-history":[{"count":1,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/posts\/91078\/revisions"}],"predecessor-version":[{"id":92196,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/posts\/91078\/revisions\/92196"}],"wp:attachment":[{"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/media?parent=91078"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/categories?post=91078"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxaj.com/learn\/wp-json\/wp\/v2\/tags?post=91078"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}