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If a persons rents his vacant land for the purpose of cultivation of tomato which is for the purpose of converting into ketchup. Is this renting activity exempted from GST ?


Swathi Krishna

Swathi Krishna

CA Inter

7K+

14-May-20 15:46

28

Answers (9)

No.


lala lawanya

lala lawanya

CA Inter

2K+

14-May-20 16:09

Why?


Swathi Krishna

Swathi Krishna

CA Inter

7K+

14-May-20 17:02

I think that Agricultural product is excempt from Gst but conversation of agricultural product into some other things attract gst.


lala lawanya

lala lawanya

CA Inter

2K+

14-May-20 17:06

So the renting activity is taxable


Swathi Krishna

Swathi Krishna

CA Inter

7K+

14-May-20 17:20

Yes.


lala lawanya

lala lawanya

CA Inter

2K+

14-May-20 17:26

Landlord-Rending is for the purpose cultivating of agricultural produce (tomato's) which are agricultural produce and landlord is in no way concerned on further conversion of agricultural produce. so rent received was exempted. Tenant-Conversion of tomato to ketchup qualifies as a taxable supply and attracted to GST.


KEERTHI PRIYA

KEERTHI PRIYA

Moderator

14-May-20 22:40

So it is exempted for the renting activity


Swathi Krishna

Swathi Krishna

CA Inter

7K+

14-May-20 23:31

Yes


KEERTHI PRIYA

KEERTHI PRIYA

Moderator

15-May-20 09:54

Yes renting a land Is exempted


Nanthini Shanmugam

Nanthini Shanmugam

CA Inter

2K+

15-May-20 16:19

Happy Mother's Day
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