Advance Ruling— In the instant case, the applicant is an individual owning land in Ravindra Co-operative Housing Society, Serilingampally Mandal, Ranga Reddy District.

They have entered into an development agreement with M/s. Ayyanna Infra Private Limited for construction of residential units which will be shared between the applicant and the developer, i.e., M/s. Ayyanna Infra Private Limited in the ratio of 50:50. The applicant is desirous of ascertaining the liability of the developer to the extent of the share of the flats allotted to them. 

Questions raised for advance ruling is as follows—

1. Whether there is any GST liability to be paid by the developer with respect to the share of flats given to applicant in pursuance of development agreement dated: 28.04.2017?

2. If answer to (a) is yes, When the GST needs to be paid?

3. If answer to (a) is yes, the rate of GST to be applied?

4. If answer to (a) is yes, the taxable value to be taken for arriving the GST liability?

Held that— 

The applicant is seeking an advance ruling on the liability of the third party, i.e., the developer who is not represented before this authority. A ruling cannot be given on the back of an effected party to determine his liability to pay tax. Hence the application is rejected.