GST would be liable on monthly subscription / contribution charged by the society from its members if it is more than Rs.7500/- per month per member and the annual aggregate turnover of the society by way of supplying of services and goods is also Rs.20 lakhs or more.
Levy of GST- In the instant case, being aggrieved by the aforesaid Advance Ruling passed by the MAAR, the Appellant has filed the present appeal before this Appellate Authority for Advance Ruling.
The appellant raises fund by collecting contributions from the members of the Society, which are also called “charges- in terms of the Bye-laws. The said charges are collected by the Society on monthly or quarterly basis by issuing invoices and uses the said for the specified purposes as enumerated in the Bye-laws.
AAR Maharashtra had passed the ruling, wherein it was held that the activities carried out by the Appellant, as detailed herein above, would amount to supply in terms of Section 7(1)(a) of the CGST Act, 2017, and accordingly would attract GST, as provided under Section 9 of the CGST Act, 2017.
Held that- We do not find any reason to interfere with the ruling passed by the Maharashtra Advance Ruling Authority. Accordingly, it is held that activities carried out by the Appellant would amount to supply in terms of Section 7(1)(a) of the CGST Act, 2017, and the same would be liable for GST subject to the condition that the monthly subscription / contribution charged by the society from its members is more than Rs.7500/- per month per member and the annual aggregate turnover of the society by way of supplying of services and goods is also Rs.20 lakhs or more. Further, their second question regarding correctness of the GST liability on the basis of the illustrative invoices cannot be answered.
GST would be liable on monthly subscription / contribution charged by the society from its members if it is more than Rs.7500/- per month per member and the annual aggregate turnover of the society by way of supplying of services and goods is also Rs.20 lakhs or more.
Levy of GST- In the instant case, being aggrieved by the aforesaid Advance Ruling passed by the MAAR, the Appellant has filed the present appeal before this Appellate Authority for Advance Ruling.
The appellant raises fund by collecting contributions from the members of the Society, which are also called “charges- in terms of the Bye-laws. The said charges are collected by the Society on monthly or quarterly basis by issuing invoices and uses the said for the specified purposes as enumerated in the Bye-laws.
AAR Maharashtra had passed the ruling, wherein it was held that the activities carried out by the Appellant, as detailed herein above, would amount to supply in terms of Section 7(1)(a) of the CGST Act, 2017, and accordingly would attract GST, as provided under Section 9 of the CGST Act, 2017.
Held that- We do not find any reason to interfere with the ruling passed by the Maharashtra Advance Ruling Authority. Accordingly, it is held that activities carried out by the Appellant would amount to supply in terms of Section 7(1)(a) of the CGST Act, 2017, and the same would be liable for GST subject to the condition that the monthly subscription / contribution charged by the society from its members is more than Rs.7500/- per month per member and the annual aggregate turnover of the society by way of supplying of services and goods is also Rs.20 lakhs or more. Further, their second question regarding correctness of the GST liability on the basis of the illustrative invoices cannot be answered.