GST Rate of 12% applicable on Hostel, PG Accommodations: AAR

M/s V S Institute & Hostel Private Limited is registered under GSTIN 09AACCV6409R1ZL under the trade name of Mis V S Institute & Hostel Private Limited having a principal address at 30/21,22, Knowledge Park-3, Gautam Buddha Nagar, Greater Noida,201308 (hereinafter referred to as “the applicant”). The applicant is a private limited company that provides hostel services to students of educational institutions for a fixed term on an annual basis.

The applicant has submitted the application for GST Advance Ruling dated 24.01.2023 enclosing dully filled Form ARA-01 (the application form for Advance Ruling) along with an annexure and attachments. The applicant in his application has sought an advance ruling,

Advance Ruling:

Question-1 Whether hostel accommodation provided by the Applicant to the students for residential purposes charging less than Rs.1,000/-per day during the period from 01.08.2021 to 12.07.2022 is exempted from GST liability under the Sl.No. 12 and/or 14 of the Exemption Notification No. 12/2017-CT(Rate) dated 28.06.2017?

Answer: Replied in Affirmative.

Question-2 Whether hostel accommodation provided by the Applicant to the students for residential purposes charging less than Rs.1,000/-per day during the period from 13.07.2022 till today and also similar transaction to be undertaken in the future is exempted from GST liability under the Sl.No. 12 of the Exemption Notification No. 12/2017-CT(Rate) dated 28.06.2017, as amended, vide Notification No. 04/2022-Ct (Rate) dated 13.07.2022?

Answer: Replied in Negative.