GST on Rent: Residential vs Commercial, RCM, and TDS Interaction

Renting of residential property for residential use is exempt. Renting commercial property is taxable as a supply of service. Renting from an unregistered person (other than for residential dwelling) attracts reverse charge — the tenant pays GST and may claim ITC. GST layer aside, the tenant also deducts TDS under section 194-I at 10 percent if rent exceeds Rs 2.4 lakh per year. Both the GST and TDS have to be deposited on their respective portals before filing GSTR-3B and Form 26Q.