Greater Noida Industrial Development Authority — 18% gst on flat installment amounts

Address:Ghaziabad, Uttar Pradesh, 201014
Website:www.greaternoidaauthority.in

Sir,
I am an allote of 29.76 sqm flat under economically weaker section in sector mu-2 in bhs-16 scheme from gnida (Greater noida industrial development authority). These flats were allotted in the year 2013 on 14 installments with 12% interest rate. Now gnida authority has started charging 18% gst on principal and it's interest part. As per the rule there is no gst as we paid the total money on 2013 and now we are paying only the loan. Also as per the gst rule under construction property attract has 12% gst on principal part only. On which basis gnida is charing 18% both on principal and interest? If there is any such rule please share the rule? In this rule we are paying 12% +18% =30%. Even luxury items attract only 28% gst.

Regards,
Debabrata
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Dear Debabrata,

I totally agree with you on this point, as I failed to understand G.Noida authority's calculation. They put a flat 18% on the instalment without considering previous tax charged by them.

Authority should explain what was the tax charged by them earlier and what is present notice to charge.

Thanks,
Anshu Chandan
[protected]
Hello,
I am having the same query. Why GNIDA is charging this?
Please sent the following letter to the GST Council, I have done it, if more and more people will do it, GST council will issue clarification or ammendment in the existing GST. Please do:-

letter

To,
The Chairman, GST Council
Office of the GST Council Secretariat
5th Floor, Tower II, Jeevan Bharti Building, Janpath Road,
Connaught Place, New Delhi-110 001

Subject: Representation regarding unfair imposition of GST on payment of instalments and one time down payments towards the cost of plot/house/flat allotted by the Greater Noida Industrial Development Authority (GNIDA)

Sir,
With reference to the subject mentioned above, I wish to invite your kind attention on the below mentioned issues, for your kind consideration and further necessary action:-
- Issue regarding the unfair and illogical imposition of GST Tax on the payments (i.e. via Instalments and one-time down payment) towards the cost of plots/residential built up house/flats, allotted by the Greater Noida Industrial Development Authority, on lease basis, UP State Government
- Issue regarding the unfair and illogical imposition of GST on various citizen centric and pure Government Services (water supply, sanitation etc.) by GNIDA.
After launch of GST, Greater Noida Industrial Development Authority, GNIDA has ruthlessly started collecting GST not only on the common citizen services, but also on the payment of instalments and one time down payments of plot/built up house and flats etc.
In this regard, it is pertinent to mention that GNIDA, from time to time, has allotted various types of residential plots, independent built up houses and flats and provides the facility of one-time payment, i.e. down payment as well as instalment plan for the payment towards the plot/built up house/flats etc. After opting instalment plan, various citizens are paying the instalments towards the cost of constructed built-up house as well as one time payments (as provided by the GNIDA). Further, many citizens pay one time down payment after securing housing loan etc.
After imposition of [protected]@18% by the GNIDA, all the middle and below middle class citizens are shocked and in deep trouble, as it is increasing sudden huge burden and has disturbed their budgets. Such type of sudden burden is unbearable to the citizen. Imposition of GST in such cases is unfair, unjust and illogical also. Even, such type of GST imposition is no way convincing and seems result of shortcomings in the planning & implementation of GST. Because, no thoughtful mind can suggest the imposition of [protected]@18% on the plots or on payment of instalments towards same, but on ground, it is happening.
As a citizen and allottee of built-up house, we still fail to understand the logic and rationale behind the imposition of 18% GST on the purchase cost of the plot/built up house/flats. Further, authority has started levying GST even on the common citizen services, those are pure govt. services in nature and these services are the way by which citizen is served by the Government Agency by the virtue of citizenship.
Here I wish to draw your attention on some of very anomalistic situations arising after imposition of GST by the GNIDA. As a concept, GST says “One India One Tax”, but it is very anomalistic situation that for the same Government Services, in Delhi & in other region, it is under NIL GST taxation, while on places like Greater Noida, it is highly taxable. Sir, citizen must have right to avail the services on the same GST pattern irrespective of places or Government Org. In case of Government Services, establishment process and status of any Government organization may be different, but for the citizen, GST must be decided on the basis of service availed, not on the basis of type of Government Agency providing service. But in very anomalistic manner, current provisions of GST gives ways for collecting the GST on different-2 rates at different places in the country. Eg. In Delhi and some other places, services of Govt. has not brought under the GST, but in case of Noida& Greater Noida, various citizens and pure Govt. services has been brought under the GST.
Regarding the Greater Noida Industrial Development Authority, the following details and facts are submitted:-
1) As the GST is being collected by the GNIDA and on its various services, in this regards, we wish to submit that Greater Noida Industrial Development Authority (GNIDA) has been set-up in January 1991 under the UP Industrial Area Development Act 1976 by the Utter Pradesh State Government, provides the basic enabling framework for developing an efficient and integrated modern city with high service and delivery standard. It involves in planning, developing, regulating, operations and providing various local government services under a Single Authority–GNIDA.
2) As per the definition in clause (69) of section 2 of the CGST Act, 2017, ‘Local authority‘ has been defined as:-
1. A “Panchayat” as defined in clause (d) of article 243 of the Constitution;
2. a “Municipality” as defined in clause (e) of article 243P of the Constitution;
3. a Municipal Committee, a Zilla Parishad, a District Board, and any other authority legally entitled to, or entrusted by the Central Government or any State Government with the control or management of a municipal or local fund;
4. a Cantonment Board as defined in section 3 of the Cantonments Act, 2006;
5. a Regional Council or a District Council constituted under the Sixth Schedule to the Constitution;
6. a Development Board constituted under article 371 of the Constitution; or
7. a Regional Council constituted under article 371A of the Constitution;
3) As GNIDA is:-
1. Not merely described as a ‘local body’ by virtue of a local law as not set up under the Town and Planning Act. But it is has been set up under UP Industrial Area Development Act 1976 by the Utter Pradesh State Government
4) Not merely setup to undertake developmental works like infrastructure, housing, residential & commercial development, construction of houses, etc, but enabling framework for developing an efficient and integrated modern city with high service and delivery standard. It provides various basic services, as provided by the Municipal Corporations elsewhere, for planning, developing, regulating and operations under a Single Authority–GNIDA.
Therefore, it is an authority under the control of the Utter Pradesh State Government and therefore ‘Local Bodies’ as per the definition.
Imposition of GST by GNIDA on payment of instalments & down payments and other citizen centric services is an evidence of shortcomings in the GST and its implementation. It shows how GST has been launched and implemented in haphazard and uncontrolled manner. One side, GST itself needs suitable amendments, because citizen is not only for paying taxes but also for availing services. But unfortunately, GST in its current form says to pay GST taxes even on Government services. On the other side that is implementation side, many issues are being faced by the citizens those are result of faulty interpretation of GST provisions. In the abovementioned case, it is clear that, imposition of GST on the payments of instalments as well as on common citizen services is result of faults in the current GST and confusion caused due to lack of proper implementation of GST. Therefore, urgent examination and suitable clarification or amendment, as required, in this matter required for the sake of citizen’s relief and for stopping further harassment.
Prayer: In view of the above, it is requested to kindly do needful in this matter of imposition of GST on payment of instalment, one time down payments and various Govt. services provided by the Greater Noida Industrial Development Authority(GNIDA)

Thanking you, sir

Yours faithfully,
Hi, I an NRI, I purchased a small house of50 sq meter on instalments from Greater Noida. for the last 4 years, I was paying my instalments through Greater Noida web site online. This time the web site is demanding 18% sGST/CgST besides instalment. There are total four platforms who charging money.
1. Sending money from abroad ( institution charge their fee)(
2. Greater Noida Charging 12% interest already
3 Indian Bank also charging their convenience fee.
4 SGST/SGST 18%

MODI JEE NE JEENA DURLABH KAR DIYA, KAY KARAI?
WE sent full details to GST council, Delhi as address mentioned above, but no reply.
Who will invest in India? no one.
Shame to BJP looting public .
GNDA is blindly charging 18%, on top of 12% which is already charged. Don't know if the same GST is applicable or not if you pay direct by visiting designated branch/bank.
Indirectly it's all promotion of black money. Forcing us to use black money...
On 13th Feb 2018, I faced the similar problem, I wrote an email to the authority, they immediately modified the software and now there is no GST on instalment payment. Cheers UP.
Great Job by G-Noida Authority

SC Pradhan
On 13th March 2018, I faced the similar problem, I wrote an email to the authority, they immediately modified the software and now there is no GST on instalment payment. Cheers UP.
Great Job by G-Noida Authority

SC Pradhan
I faced similar problem while paying the instalment on 13th March 2018, I wrote an email to the G Noida Authority. Immediately they modified their website and now there is no GST on Instalment.
Cheers Up
SC Pradhan

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    Uttar Pradesh
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