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GST on Piped LPG in a Apartment Association

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..... GST on Piped LPG in a Apartment Association
Query (Issue) Started By: - sfs 407 Dated:- 24-3-2022 Last Reply Date:- 3-4-2022 Goods and Services Tax - GST
Got 2 Replies
GST
We are a apartment owners association (RWA) registered under Co-op act. Our turnover exceeds 20 lakh, but exempted from GST due to ₹ 7500 per month per members clause, hence don't have GST number. We have .....

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..... centralized piped LPG (reticulated gas system) We procure bulk domestic use cylinders from Authorised Indane agent and supply to all flats through pipes. Prepaid meters are installed in all the flats & residents need to recharge their smart card & pay as per their usage. We, the Society don't make any profit, but incur some loss due to distribution loss which is covered by Maintenance charge .....

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..... . We don't have an agreement with residents. However, piped LPG is mandatory as per fire department terms, residents don't have any option to keep LPG cylinder in their home. (so, it's statutory obligation) Invoice for bulk cylinders are raised in the name of Society, not in individual's name. Now the question is; 1) Does it qualify as reimbursement of expenses? 2) If not, do .....

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..... we have to obtain GST number & collect tax? 3) What is the GST rate? LPG is a 5% goods, not service Reply By shwetal oswal: The Reply: No need to charge gst, as the same will qualify as reimbursement of statutory dues. Reply By Shilpi Jain: The Reply: It is highly suggested that an agreement is entered with the residents to act as their pure agent while making available gas to them. It is po .....

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..... ssible to get the conditions of pure agent satisfied to be out of GST for the gas amount. However, if those conditions are not satisfied then the gas would be liable at the rate the CAM charges are liable.
Discussion Forum - Knowledge Sharing .....

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