TNHB must bear additional 5% GST cost, can't ask flat buyers to foot bill

THE Madras High Court has ruled that the Tamil Nadu Housing Board (TNHB) is not entitled to collect additional GST from flat purchasers after collecting the full flat cost, which is inclusive of the GST amount, as per the advertisements released during the time of entering into the agreement.

- R SIVAKUMAR @ Chennai

The ruling was given by Justice D Bharatha Chakravarthy while allowing a batch of petitions challenging the notices issued to purchasers by the TNHB in 2024, forcing them to pay an additional GST of 5% of the total sale price of the flats. He ordered the board to execute the sale deed in favour of the petitioners who have paid the full cost calculated as per the advertisement rate and refund the additional 5% to those who have already paid that within eight weeks.