GST refund for PMAY beneficiaries
2 years ago
I'd booked an under construction flat in Pune in Dec 2018 and had applied for PMAY in Jan 2019 since the project is registered under PMAY.
As per the agreement done in Dec 2018, I continued to pay 12% GST as per Demand from builder as per construction progress.
I received PMAY benefits on 07/02/2020 which got credited to my Home loan account. Construction for my flat was completed in September 2020 and Project received OC on 25/09/2020. I took possession on 25/10/2020 by clearing all the dues as per 12% GST.
Since I'm a first time buyer, I was not aware about the GST rate of 8% for PMAY beneficiaries. Also there was no communication or information provided from Builder's CRM or Sales team and they continued to demand for 12% GST which I'd paid.
Now in March 2022, I got to know about the GST rate of 8% for PMAY beneficiaries from some of my neighbors. Some of them got 4% refund few months back from builder even though they had got PMAY benefit back in 2019-2020. So I've asked the builder to provide me with a 4% refund which was paid extra in my case. Builder is checking the same with the accounts team if that can be done since last financial year is complete. Below are some questions I've. It would be helpful if someone can answer please.
1. Am I eligible for a 4% refund at the moment?
2. If the builder refuses to refund back the 4% GST amount, then what are the legal ways to go forward with my complaint and whom can I approach?
As per the facts which have been provided, if your builder does not refund the 4% you can send a legal notice and if nothing is done after that as well you can file a case in the court.
Thank You.
It is all discretionary powers of concerned authorities and many a times they may not pass such benefits to you. Better be in good books with them and see that benefits are accrued in your favour.
Here are your answers
1. To find that you need to get in touch with a CA or GST expert, even your builder's account team should be in a position to tell you that.
2. If the builder does not refund your 4% then you can send him a legal notice for the same.
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