No GST on Leasing Residential Premises as Student Hostels: SC
NEW DELHI: The Supreme Court ruled on Thursday that leasing residential premises to entities utilizing them as hostels for students and working professionals is exempt from GST. Justices JB Pardiwala and KV Viswanathan upheld the Karnataka High Court’s decision, affirming that such leasing practices are indeed exempt under GST. “In this instance, the primary purpose of the property as a residence is unchanged. Imposing an 18% GST on the transaction between the respondent No. 1 and the lessee, M/s DTwelve Spaces Private Limited, would eventually burden students and working professionals, undermining the legislative intent of providing exemptions for residential use,”…