Advertisement
A Cuttack housing project under the 'Housing for All' scheme faces a GST liability of nearly INR 10 crore for transfer of development rights. The project involved a 3.63-acre land parcel where 550 units for EWS and 320 units for LIG were constructed in collaboration with the Cuttack Development Authority. While GST on construction services and interest for delayed compliance was paid, the TDR-related GST remains unpaid. Officials flagged issues with input tax credit entries, prompting the case to be escalated to the national GST enforcement agency for detailed investigation.
A housing project in Cuttack has come under the scanner for an unpaid GST liability of approximately INR 10 crore related to the transfer of development rights (TDR). The project was carried out by a private developer in collaboration with the Cuttack Development Authority (CDA). Authorities have calculated that the consideration for the transfer of development rights amounts to INR 55.34 crore. This includes the capital cost of the affordable housing project, the project development fee, minus a concessional grant. Advertisement
The project involved developing a 3.63-acre land parcel in sectors 8 and 11 of Cuttack, where the developer constructed 550 units for the economically weaker section (EWS) and 320 units for the low-income group (LIG) under the 'Housing for All' scheme. The construction of these units was completed in September 2023.
While GST of INR 1.32 crore on construction services was duly paid, and interest of over INR 26 lakh for delayed compliance was also cleared, the GST liability specifically on TDR has not yet been settled. Officials also identified issues with incorrect entry of input tax credit during the financial year 2022-23.
The enforcement wing of the CT & GST, Cuttack, has escalated the matter to the Directorate General of GST Intelligence (DGGI), Bhubaneswar zone, to probe potential evasion and misuse of input tax credit. The case will move to adjudication once clarifications are received from the central unit. Authorities have emphasized that the TDR-related GST liability is distinct from the GST already paid on construction services and must be resolved separately.
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
