Dear Dialogue Members,
Greetings from Sundarban social development Centre
1st query Can an NGO under GST Applicable?
2nd query if an NGO Run Hospital and also Run medicine shop & Optical shop then that NGO applicable under GST?
Regards
Sudhendu Das
Finance manager
Sundarban Social development Centre
Sultanpur, PO Krishnanagar
Dist south 24 Parganas
Pin 743343
Dear Mr.Sudhendu Das,
1)Primarily if taxable activities are there & going to exceed the threshold limit of Rs 20,00,000/-, registration under GST is mandate.
2) Even though Hospital Services are exempted from GST , you have taxable services of Medical shop & Optical Shop, if your overall turnover ie exempted & taxable is going to exceed Rs 20 Lakhs, you need to register & all three returns GSTR1,2 & 3 need to be filed after paying relevant RCM & tax.
Dear Sudhendu,
Yours is a very specific query, hence one needs more details, however I will give a general answer that is
1) NGOs are not exempt per se from GST and one needs to examine each case on its merits depending on the type of ‘supply’.
2) Certain specified charitable activities are exempted from GST, as per ST Notification No. 25/2012
“charitable activities” means activities relating to –
(i) public health by way of –
(a) care or counselling of
– terminally ill persons or persons with severe physical or mental disability,
– persons afflicted with HIV or AIDS,
– persons addicted to a dependence forming substance such as narcotics drugs
or alcohol;
(b) public awareness of preventive health, family planning or prevention of HIV
infection;
(ii) advancement of religion, spirituality or yoga;
(iii) advancement of educational programmes or skill development relating to,
(a) abandoned, orphaned or homeless children;
(b) physically or mentally abused and traumatized persons;
(c) prisoners;
(d) persons over the age of 65 years residing in a rural area;
(iv) preservation of environment including watershed, forests and wildlife;
In addition to above, exemption number 82 in the said exemption circular also specifically covers
(i) Health care services by a clinical establishment, an authorised medical practitioner or para-medics;
(ii) Services provided by way of transportation of a patient in an ambulance, other than those specified in (i) above;
Hope you will find the above useful.