NEW DELHI: The GST Council, which met on Wednesday through videoconferencing, decided to defer the decision on rates related to the real estate industry and lotteries to February 24, when the Council members will meet in person. The members wanted the decision to be taken after a physical meeting.
The virtual meeting on Wednesday, however, decided to extend the deadline for summary sales return—GSTR-3B— for January by two days to February 22.
“Considering the speed at which returns are getting filed, thousands of returns being filed every hour, the suggestion before the GST Council was to extend the deadline by two days for all states; and since some areas are facing disturbance, for Jammu and Kashmir, it be extended till February 28,” Finance Minister Arun Jaitley said.
While the 33rd GST Council meeting decided to defer the decision on real estate to Sunday, the lottery issue was not discussed, Jaitley said. Wednesday’s meeting on the issue remained inconclusive as ministers from Delhi and Kerala demanded a physical meeting, while Punjab brought forth the issue of cost of land being included for GST on real estate.
Currently, a GST of 12 per cent with input tax credit is charged on projects under construction, and the ministerial panel is learnt to have recommended bringing it down to 5 per cent without ITC. It has also favoured rates for affordable housing to be brought down to 3 per cent from 8 per cent at present.
The ministerial group on real estate is headed by Gujarat Deputy Chief Minister Nitin Patel.