2022 (8) TMI 1239 - AAR - GST

Levy of GST - health-care services provided to patients at their residence by the applicant through qualified nurses and other technically qualified persons - applicability of SI. No. 74 of N/N. 12/2017 Central tax (Rate) dated 2806-2017 - HELD THAT - As per the entry 74, healthcare services provided by a clinical establishment or authorised medical practitioner or paramedics is exempted from GST. Whether the services rendered by the applicant qualify to be classified as healthcare services? - HELD THAT - Healthcare service is defined.to include any service by way of diagnosis or treatment or care for illness, injury, deformity, abnormality or pregnancy in any recognized system of medicines in India. The applicant is rendering medical services to the patient at their residence through qualified nurses and other technical employees. Accordingly, the services rendered by the applicant as explained in the application for the care of patients at their residence by employing qualified nurses and other technical personnel fall within the definition of healthcare services. Whether the applicant qualifies to be categorised as a clinical establishment? - HELD THAT - On a combined reading of the definitions of health care services and clinical establishment, it is evident that any institution providing services by way of diagnosis or treatment or care for illness etc will qualify to be categorised under the definition of clinical establishment. From the details of the services provided as described by the applicant, it is evident that the applicant is providing services of care for illness to patients at their residence and hence qualify to be classified as a clinical establishment under the category of any other institution providing services of care for illness as per the said definition. The applicant is a clinical establishment providing health care services that are exempted as per entry at SI. No.74 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017.

Summary

Issues Involved:
1. Taxability of healthcare services provided to patients at their residence by the applicant through qualified nurses and other technically qualified persons under GST.

Detailed Analysis:

1. Taxability of Healthcare Services Provided at Residence:
Applicant's Contentions:
- The applicant, a company registered under GST, provides various healthcare services at patients' residences through qualified nurses and technically skilled personnel.
- Services include physiotherapy, ventilator care, CPR, emergency home care, and other supporting and monitoring services.
- The applicant maintains detailed patient records, including nursing care plans, diet charts, and medication charts.
- They argue that these services fall under "healthcare services" as defined in SI. No. 74 of Notification No. 12/2017 Central Tax (Rate) dated 28-06-2017, which exempts healthcare services from GST.
- "Healthcare services" are defined as services by way of diagnosis, treatment, or care for illness, injury, deformity, abnormality, or pregnancy in any recognized system of medicines in India.
- The term "clinical establishment" includes hospitals, nursing homes, clinics, and any institution offering diagnosis or treatment services.
- The applicant asserts that their services qualify as healthcare services provided by a clinical establishment and should be exempt from GST.

Authority's Findings:
- The application is admissible under subsection (2) of Section 97 of the CGST Act.
- The applicant provides nursing care services, physiotherapy, nutrition therapy, medication, nebulisation, wound care/dressing, and other monitoring services at patients' residences.
- Healthcare services provided by a clinical establishment, authorized medical practitioner, or paramedics are exempt from GST as per SI. No. 74 of Notification No. 12/2017 Central Tax (Rate) dated 28.06.2017.
- The definition of "healthcare services" includes any service by way of diagnosis, treatment, or care for illness, injury, deformity, abnormality, or pregnancy.
- The applicant's services, provided through qualified nurses and technical personnel, fall within this definition.
- The term "clinical establishment" encompasses any institution offering diagnosis or treatment services, including private paramedical institutions registered under relevant municipal rules.
- The applicant's institution qualifies as a clinical establishment as it provides care for illness to patients at their residences.

Conclusion:
- The applicant's services are classified as healthcare services provided by a clinical establishment.
- These services are exempt from GST under entry at SI. No. 74 of Notification No. 12/2017 Central Tax (Rate) dated 28.06.2017.

Ruling:
- The healthcare services provided to patients at their residence by the applicant through qualified nurses and other technically qualified persons are exempt from GST as per entry at SI. No. 74 of Notification No. 12/2017 Central Tax (Rate) dated 28.06.2017.