𝗚𝗦𝗧 𝗖𝗹𝗮𝗿𝗶𝗳𝗶𝗰𝗮𝘁𝗶𝗼𝗻𝘀 𝗮𝘀 𝗽𝗲𝗿 𝗖𝗶𝗿𝗰𝘂𝗹𝗮𝗿 𝗡𝗼. 𝟮𝟯𝟰/𝟮𝟴/𝟮𝟬𝟮𝟰 📢 The Ministry of Finance issued key clarifications on the applicability of GST following the 54th GST Council meeting held on 9th September 2024.

🔍 𝗙𝗮𝗰𝘁𝘀: 𝗔𝗳𝗳𝗶𝗹𝗶𝗮𝘁𝗶𝗼𝗻 𝗦𝗲𝗿𝘃𝗶𝗰𝗲𝘀 𝗯𝘆 𝗨𝗻𝗶𝘃𝗲𝗿𝘀𝗶𝘁𝗶𝗲𝘀: GST at 18% is applicable to affiliation services provided by universities to colleges, as they are not exempt under Notification No. 12/2017-CT(R).

𝗔𝗳𝗳𝗶𝗹𝗶𝗮𝘁𝗶𝗼𝗻 𝗦𝗲𝗿𝘃𝗶𝗰𝗲𝘀 𝗯𝘆 𝗘𝗱𝘂𝗰𝗮𝘁𝗶𝗼𝗻𝗮𝗹 𝗕𝗼𝗮𝗿𝗱𝘀 𝘁𝗼 𝗦𝗰𝗵𝗼𝗼𝗹𝘀: GST applies to affiliation services provided to private schools but is exempt for government-run schools. Past tax liabilities from 01.07.2017 to 17.06.2021 are regularized.

𝗙𝗹𝘆𝗶𝗻𝗴 𝗧𝗿𝗮𝗶𝗻𝗶𝗻𝗴 𝗖𝗼𝘂𝗿𝘀𝗲𝘀: DGCA-approved flying training courses provided by Flying Training Organizations are exempt from GST as these services lead to a recognized qualification.

𝗣𝗮𝘀𝘀𝗲𝗻𝗴𝗲𝗿 𝗧𝗿𝗮𝗻𝘀𝗽𝗼𝗿𝘁 𝗯𝘆 𝗛𝗲𝗹𝗶𝗰𝗼𝗽𝘁𝗲𝗿: GST at 5% applies to passenger transport on a seat-share basis, while charter services attract 18%. Tax liabilities from 01.07.2017 to 09.10.2024 are regularized.

⚖️ 𝗜𝘀𝘀𝘂𝗲: The circular addresses multiple issues regarding GST on services such as affiliation, flying training, and passenger transport, aiming to provide clarity on GST rates and exemptions.

⚖️ 𝗝𝘂𝗱𝗴𝗲𝗺𝗲𝗻𝘁: The circular clarifies several GST exemptions, such as those for flying training courses and electricity-related services. It also regularizes past GST payments on various services, ensuring compliance and addressing historical discrepancies.

📜 This circular emphasizes the need for businesses and government bodies to adhere to GST guidelines, while also offering exemptions and regularizations for certain sectors.

𝗖𝗮𝘀𝗲 𝗜𝗻𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝗼𝗻: 𝗧𝗶𝘁𝗹𝗲: 𝗖𝗶𝗿𝗰𝘂𝗹𝗮𝗿 𝗡𝗼. 234/28/2024-GST 𝗢𝗿𝗱𝗲𝗿 𝗗𝗮𝘁𝗲: 11 October 2024 📜 This clarification ensures that GST applicability is clear across different sectors, preventing confusion regarding exemptions and obligations.