GST applicable on facilities provided with Accommodation Services – AAAR

THE AUTHORITY OF ADVANCE RULING

The Question and Ruling as follows :

1. Classification of service provided by Sri DMS Hospitality Private Limited to Sodexo Food Solutions India Private Limited?

2. Classification of service provided by the Building owner to Sri DMS Hopitality Private Limited?

3. Applicabilty of GST Notification No.12/2017-Central tax (Rate) dated 28th June 2017, “Services by way of renting of residential dwelling for use as residence” is exempt from GST?

4. Applicabilty of GST on EMI per month charged from Sodexo Food Solution India Private Limited and security services provided by Sodexo Food Solution India Private Limited?

RULING

1. The Classification of service Provided by Sri DMS Hospitality Private Limited to Sodexo Food Solutions India Private Limited is covered under SAC 997212 and hence under entry no.16 of Notification No. 11/2017 – Central Tax (Rate) dated 28.06.2017 and the security services provided is covered under SAC 998529 and hence under entry 23(ii) of Notification No.11/2017- Central Tax (Rate) dated 28.06.2017 and are hence liable to tax at respective rates.

2. The Classification of service provided by the building owner to M/s Sri DMS Hospitality Private Limited is covered under SAC 997212 and hence liable to tax under entry no. 16 of Notification No.11/2017 – Central Tax (Rate) dated 28.06.2017.

3. The entry no.12 of Notification No. 12/2017 – Central Tax (Rate) dated 28.06.2017 – “Services by way of renting of residential dwelling for use as residence” is not applicable to the present case on hand.

4. The EMI charged on the goods supplied is an instalment for the goods transferred and is a supply of goods under clause 1(c) od Schedule II to the CGST Act and hence is liable to tax at the rate applicable to each of the goods supplied at the time of delivery of such goods.