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Real estate leasing companies in a fix over blocked credit eligibility

Dated on: Tuesday 12th September 2023

Real estate developers who lease their commercial properties are currently facing credit eligibility challenges under sections 17 (5) C and 17 (5) D, even as the matter is being debated in the Supreme Court, according to stakeholders in the real estate industry. In cases where a developer constructs a commercial building and sells it before obtaining an occupancy certificate, they might be able to qualify for credit, as long as they fulfill their obligation to pay the output GST for the sale transaction.

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