Professional Service Supply is the Essence of the Package of Services Supplied by ISCCM to its Delegates

M/s. Indian Society of Critical Care Medicine is engaged in imparting educational training by running post-graduate fellowship courses & diplomas in critical care medicine and providing basic training in intensive care for non-specialists. ISCCM conducted a conference and exhibition in Ahmedabad in February 2021 under the name of CRITICARE for the purpose of upliftment and advancement of the public at large.

The applicant will organize and manage the conference and exhibition and it will be attended by delegates, vendors, and exhibitors from all states of India including Gujarat, and international vendors as well. ISCCM offered facilities to the delegates for an inclusive registration fee including technical theme-based seminars, access to the exhibition, interactive workshop and scientific session, hotel room accommodation, cultural programs, lunch & dinner, and airport pickup and drop. Also, the interested local, national & international vendors were offered to participate in the trade fair to showcase and exhibit their products against certain participation charges.

ISCCM submits that bundle of services is being offered to the delegates with reference to the concept of ‘composite supply‘ under the CGST Act, 2017. The authority was asked to declare the nature and liability of service and classification in accordance with Notification No. 11/2017- CT(R), in relation to all the services and whether Input Tax Credit was admissible for ISCCM in respect of the services for which tax was paid.

The authority noted that the principal supply of ISCCM to its delegates attending the conference is imparting knowledge/workshops on topics of the medical field and the desire to attend the conference was not merely because of supporting services such as hotel accommodation or airport pick-up and drop. The authority held that Professional Service supply is the essence of the package of services supplied by ISCCM to its delegates.

Also, the participation fees charged by ISCCM on exhibitors was for the service of organizing exhibition for the exhibitors which finds entry at SAC 998596 under ‘events, exhibitions, conventions, and trade shows organization and assistance services’ and Sponsorship services supplied to its respective customers which finds entry at SAC 998397 under the category of ‘Sponsorship services and brand promotion services. The ISCCM’s submission that the hotel’s principal supply is accommodation service supply was dismissed and it was held that ITC is admissible on all items such as a convention, accommodation, food & beverages vide Section 17 (5)(b)(i) of CGST Act, whether the hotel raises an itemized bill or a single price bill,  ITC on Rent-a-cab service by ISCCM having approved seating capacity of not more than 13 persons is admissible under Section 17(5)(b)(i) CGST Act and Exhibition stall set-up and tenting service under Section 16 (1) CGST Act.