Chee Seng Chin

🏠 “Renting Property? Here’s the GST 2.0 Twist You Can’t Ignore!” ⸻ 💬 Many landlords & tenants still ask: “Do I need to pay GST on rent?” With GST 2.0 reforms (Sept 2025), the rules are clearer — but still tricky. ⸻ 🟢 When Rent Attracts GST ✔️ Commercial Property Rent → GST @ 18% always applies ✔️ Residential Property rented to Business (for office use) → GST @ 18% under RCM (tenant pays) ✔️ Residential Property rented for personal use → ✅ No GST ⸻ ⚠️ GST 2.0 Updates • Threshold for landlords remains: GST required only if total rental + other taxable income > ₹20 lakh (₹10 lakh in some states) • More scrutiny through PAN–Aadhaar linking of rental income → harder to escape reporting • Auto data-matching with income tax return (TDS on rent vs GST disclosures) ⸻ ❌ Common Mistakes 🔴 Charging GST on residential rent unnecessarily 🔴 Ignoring RCM liability when business rents a flat/house 🔴 Not reconciling rent income in ITR with GST filings ⸻ ✅ Smart Compliance Tips 📑 If you’re a landlord → check threshold + type of tenant before charging GST ✔️ Businesses renting houses → discharge RCM & claim ITC if eligible ✔️ Always match rent in GST vs TDS u/s 194-I in Income Tax ⸻ 📣 Bottom line: In GST 2.0, your rent agreement isn’t just paperwork — it’s a tax document. 👇 Do you think residential rent should be completely GST-free? ⸻ 🔗 For daily GST updates in simple words, Follow my WhatsApp Channel: 👉 https://lnkd.in/ddKdf7UP ⸻ #GSTIndia #RentalIncome #GSTonRent #RCM #GSTCompliance #FinanceWithCA #LinkedInFinance #TaxTips

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Scope of fast track merger widened - Following the draft notification that was open for public comments in April this year, the Ministry of Corporate Affairs (MCA) via notification dated 4th Sep 2025 has made significant amendments to the fast-track merger framework under Rule 25 of the Companies (Compromises, Arrangements and Amalgamations) Rules, 2016. The key highlights are as follows: 1. Notice of Scheme (Form CAA-9): The notice inviting objections or suggestions for a proposed fast-track merger must now be issued to the relevant sectoral regulators (such as RBI, SEBI, IRDAI, etc.) in the case of regulated entities, as well as to the concerned stock exchanges where listed companies are involved. 2. Expanded Scope of Fast Track Mergers (Rule 25(1A)): The categories of companies eligible for fast-track mergers have been significantly broadened. In addition to small companies, start-ups, and Parent-WOS, the fast-track route will now cover: i. Mergers between unlisted companies (other than Section 8 companies) where the total outstanding loans, debentures, and deposits do not exceed ₹200 crore and there is no default in repayment, subject to the filing of an auditor’s certificate; ii. Mergers between holding and subsidiary companies (listed or unlisted), except where the transferor is listed; iii. Mergers between two or more subsidiaries of the same holding company, provided the transferors are not listed (illustration provided in the notification); 3. Mergers of a foreign holding company with its wholly-owned subsidiary incorporated in India (Reverse Flip). This was previously covered under Rule 25A by a notification dated September 9, 2024, but is now realigned under Rule 25. 4. Applicability to Demergers: The notification now expressly mentions the coverage of "scheme of division or transfer of undertaking of a company" in the above-mentioned scenarios, implying the inclusion of demergers. However, it is important to note that RDs were already approving Schemes of Demergers between Parent and WOS under the fast track route, as it seemed to be covered under the fast track merger provisions by virtue of sub-section (12) of section 233 of the Companies Act, 2013. These amendments are highly welcomed and are expected to facilitate ease of doing business in India, hopefully reducing the burden on the NCLT. #mergersandacquisitionsindia #easeofdoingbusinessinindia #eyindia #schemesofarrangement

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The Finance Act, 2025 (the “Act”) was assented into law by the President on 26 June 2024. The Act amends various Laws which include: the Income Tax Act, CAP. 470 (“ITA”), Value Added Tax Act, CAP. 476 (“VAT Act”), Excise Duty Act, CAP. 472, Tax Procedures Act CAP. 469B (“TPA”), and the Miscellaneous Fees and Levies Act CAP. 469C (“MFLA”). While the Act has retained most provisions from the Finance Bill, 2025, it introduces several notable changes not previously included in the Bill. In this Alert, we provide an analysis of the key changes introduced by the Act. The effective date of these changes is 1 July 2025, unless specified otherwise for some sections. Read more: https://ow.ly/EiLz50Wsw3U #FinanceAct2025 #TaxAmendments

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GST council has come up with the biggest and boldest rate cuts since introduction of GST. This will lead to significant buoyancy in demand by boosting consumption. Since the rate cuts are applicable from September 22nd, it gives some time for industry to prepare for the changes, including mechanism to pass on the benefits to consumers. Timing of these changes couldn't have been better, just ahead of the festive season.

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