Facts of the case:

Applicant is one of the co-owner of the property, jointly owned by 3 individuals and total rent received exceeds the threshold limit for registration but the share of each co-owner doesn’t exceed the threshold. Hence ruling was sought whether they would be treated as AOP or accessed separately under GST Law.

Filing:

AAR held that the Applicant and the other two co-owners cannot be treated as an association of persons and, therefore, as a person defined under section 2(84)(f) of the GST Act, where their income from renting is separately ascertainable and assessed for income tax individually at the hand of each co-owner.

Short Conclusion:

Co-owners having definite and ascertainable share will be treated separately under GST law and not as AOP. Therefore, rental income will not be clubbed to check the provisions of registration under GST.