Renting or leasing of immovable property along with basic amenities like electricity is a normal trade practice. Nevertheless, the inclusion of electricity charges in value of rental services has been contentious issue under GST and in erstwhile law also. Recently through Circular No. 206/18/2023-GST dated October 31, 2023, CBIC seeks to provide clarity on this particular issue.
In the present article, our Partner, Mr. Deepak Suneja, Managing Associate, Mr. Sourabh Kumar and Executive, Ms. Sarita Mehra have attempted to unravel the treatment of supplying electricity in conjunction with rental services under GST and addresses potential Constitutional challenges.
Please click on the link to read our article titled ‘Unraveling GST implications in bundling of electricity supply with rental services‘.