Corrigendum to Circular No. 28 regarding GST rate on hostel mess fees

Corrigendum to Circular No. 28 regarding GST rate on hostel mess fees

Clarifications regarding GST on College Hostel Mess Fees

https://studycafe.in/2018/01/cgst-circular-no-28022018-regarding-gst-on-college-hostel-mess-fees.html

---

Circular No. 28/02/2018-GST

F. No. 354/03/2018 Government of India Ministry of Finance Department of Revenue Tax research Unit ****

Room No. 156, North Block, New Delhi, 18th January 2018

To, The Principal Chief Commissioners/ Chief Commissioners/ PrincipalCommissioners/ Commissioner of Central Tax (All) /The Principal Director Generals/ Director Generals (All) Madam/Sir, Subject: Corrigendum to Circular No. 28/02/2018-GST dated 08th January 2018 issuedvide F.No. 354/03/2018 - reg.

In Para 2 of the said circular,

for

It is immaterial whether the service is provided by the educational institution itself or theinstitution outsources the activity to an outside contractor.

read,

2.1 If the catering services is one of the services provided by an educational institution to its students, faculty and staff and the said educational institution is covered by thedefinition given under para 2(y) of notification No. 12/2017-Central Tax (Rate), then thesame is exempt. [Sl. No. 66(a) of notification No. 12/2017-Central Tax (Rate) refers]

2.2 If the catering services, i.e., supply of food or drink in a mess or canteen, is providedby anyone other than the educational institution, then it is a supply of service at entry 7(i) ofnotification No. 11/2017-CT (Rate) [as amended vide notification No. 46/2017-CT (Rate)dated 14.11.2017] to the concerned educational institution and attracts GST of 5% providedthat credit of input tax charged on goods and services used in supplying the service has notbeen taken, effective from 15.11.2017.

Yours Faithfully,

Rachna Technical Officer (TRU) Email: [email protected]

---