Activities or Transaction Excluded from Supply - Para 2 of Schedule III [Read with Section 7(2)] - GST Ready Reckoner - GST

Activities or Transaction which shall be treated neither as supply of goods nor as supply of services - Schedule III As per Section 7(2) , There are exception of supply, Schedule III to the CGST Act, 2017 provides the Activities or transaction which shall be treated as neither supply of goods nor supply of services (in other words, exclude from the supply) Para 2 - Services by any Court or Tribunal established under any Law for the time being in force. Tribunals are the constitutional bodies and are appointed under article 323A and 323B of the constitution of India. Court as per explanation to schedule III, the term Court includes District Court, High Court, and Supreme Court. The consideration for an activity in the nature of fees or court fees for a court or tribunal is not subject to GST. Service of Court Receiver are activities or transactions, which shall be treated neither as supply of goods or nor supply of services; hence, the fee or charges paid to the court receiver are not liable to GST. ( Bai Mumbai Trust Vs Suchitra , 2019 Bombay HC) Important Notifications Clarification The Consumer Dispute Redressal Commissions (National/State/District) may not have been set up directly under Article 323B of the constitution. However they are clothed with the characteristics of a tribunal, it is clarified by the circular that fee paid by litigants in the Consumer Dispute Redressal Commissions are not liable to GST. Any penalty imposed by or amount paid to these Commissions will also not attract GST.[ Circular No. 32/06/2018-GST Dated 12 Feb 2018] ​​