GST Applicable on Increased Rents for Past Periods: AAR Tamil Nadu

Summary: The Authority for Advance Ruling (AAR) in Tamil Nadu addressed the applicability of GST on increased rents for past periods in the case of M/s. Metropolitan Transport Corporation. The case arose from a lease agreement with the Government of Tamil Nadu, originally established in 2005. Due to unresolved negotiations, a rent revision had been delayed until a mutual agreement was reached in the fiscal year 2023-24 to increase the rent by 15% every three years. The total differential amount to be paid by the Regional Transport Officer was calculated at ₹1,60,42,203. The applicant contend...