The appellant is supplying various services like supply of food, TV in dining hall, playroom, gym, housekeeping of entire hostel premises, room cleaning and washing/ dry-cleaning of bed sheets and linen of rooms along with hostel acoomodation service. AAAR is of the view that supply of various other services with hostel accomodation service is not naturally bundled in normal course of business. Each service is an independant service and can be supplied separately.
Classification of supply— In the instant case the appellant is supplying various services like supply of food, TV in dining hall, Playroom, Gym, Housekeeping of entire hostel premises, Room cleaning and Washing/ dry-cleaning of bed sheets & linen of rooms along with Hostel Accommodation service.
the Authority for Advance Ruling, Rajasthan in its Ruling has pronounced its ruling as under:-
(a) The provision of hostel accommodation along with food facility, Play Room, Gym, Housekeeping, Room Cleaning to the students wherein consolidated amount is charged from the students is Mixed Supply.
(b) The entire charges recovered from the students are not exempted from GST under Sr. No. 14 of the CGST (Rate) Notification No. 12/2017 dated 28.06.2017.
(c) As various services provided by the applicant constitute a Mixed Supply, the rate of GST on whole supply will be the rate of supply which attracts highest rate of GST. As the highest rate amongst services provided is 18%, accordingly, rate of GST on whole supply will be 18% (SGST 9% + CGST 9%).
Held that— We find that contentions of the appellant have already been examined by the Rajasthan Authority’ of Advance Ruling and a well-reasoned order has been passed with detailed findings. We do not find any infirmity in the Advance Ruling pronounced by Rajasthan Authority of Advance Ruling.