GST can be levied on notional interest on security deposit: AAR

In re Midcon Polymers Pvt. Ltd. (GST AAR Karnataka) Q1. For the purpose of arriving at the value of rental income, whether the applicant can seek deduction of property taxes and other statutory levies? A1. The applicant can’t deduct the property taxes and other statutory levies for the purpose of arriving at the value of rental income. Q2. For the purpose of arriving at total income from rental, whether notional interest on the security deposit should be taken into consideration? A2. Notional interest has to be considered as part of value of supply of service, if and only if the said not...