Shyamaraju And Co (India) Private Limited Vs Deputy Commissioner of Commercial Taxes (Audit) (Karnataka High Court)
Karnataka High Court Quashes GST Demand on Landowner in JDA Case
The Hon’ble Karnataka High Court has held that since Developer has paid GST liability on 100% amount of property including 30% revenue share of Land Owner under JDA, the question of double taxation on revenue share being paid by Developer to Landowner does not arise. Hence, No GST Liability on Revenue share received by Landowner under JDA. Relevant paragraphs of the judgement are extracted as under:
8. The aforesaid facts and circumstances are sufficient to come to the conclusion that the adjudication order dated 28.12.2023 was passed against the registered person i.e., Developer – M/s. DivyaSree Projects pursuant to which the said person discharged the entire GST liability in relation to the entire property including the 30% share of the petitioner under the Joint Development Agreement dated 06.02.2017 and consequently, the question of there being double taxation i.e., payment being made by the aforesaid M/s. DivyaSree Projects and once again payment being demanded from the petitioner would not arise in the facts and circumstances of the instant case and the impugned order serves to be quashed.
