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TMI Blog2019 (4) TMI 300X X X X Extracts X X X X X X X X Extracts X X X X ..... he Association of Inner Wheel Club of India (hereinafter referred to as "the Appellant") on 21.12.2018 against Advance Ruling No. 23/WBAAR/2018-19 dated 26.11.2018 = 2018 (11) TMI 1574 - AUTHORITY FOR ADVANCE RULING, WEST BENGAL, pronounced by the West Bengal Authority for Advance Ruling in the matter of M/s. The Association of Inner Wheel Club of India. 2. M/s. the Association of Inner Wheel Club of India, who not registered under the GST Act, sated to be affiliated to International Inner Wheel and the administrative body for all Inner Wheel Club spread in 27 Inner Wheel Districts all over India (two of which fall within West Bengal) sought a Ruling on whether the activities that are undertaken by them may be termed as "business" and "sup ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ves of the Organisation and the annual membership subscription facilitates the member to further the objectives of the Organisation and be associated with other similar organisations, both nationally and globally, arranged for by the Organisation. B. It is an undisputed fact that activities of the club are restricted to social welfare activities and does not grant any personal benefit or facilities to the members. C. For that entitlement to attend conventions/meetings for the furtherance of the objectives of the Organisation cannot be said to be providing any personal facility or benefit to the members of the club. D. For that the annual membership subscription facilitating the members to further the objectives of the Organisation and be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... if any. I. For souvenirs are not sold but are only distributed free of the cost to the members or non-members. J. The Appellant further submitted that activity of the club does not fall within the scope of supply in terms of section 7 of the Central Goods and Services Tax Act, 2017 and West Bengal Goods and Services Tax act, 2017. K. None of the activities of the appellant satisfies any of the terms "sale", "transfer" "barter", exchange", "licence", "rental lease" or "disposal"; L. None of the activities of the appellant satisfies the term "business"; M. The club does not have property, assets or any facilities whatsoever to enable the members to enjoy the facilities or derive any benefit out of membership of the club; N. The club is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sheet of the club. 6. The applicant submitted two balance sheets one for the period as on 30th June, 2017 and another for the period as on 30th June, 2018, along with and one book on constitution and bye-laws of the club. 7. The matter is examined and written and oral submissions made before us are considered. 8. The Balance Sheet as submitted by the Applicant relates to "Inner Wheel District-329 Kolkata" having address of 20, Park Side Road, Kolkata-700020 whereas the Applicant's address is "Chetak, A124 lake Gardens, Kolkata-700045". No Trial Balance of the Applicant has been submitted. From the said Balance Sheet of Kolkata Chapter it appears that the applicant's 'Income' mainly comes from: (i) Contribution from club ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ss" includes- 'any trade, commerce, manufacture, profession, vocation, adventure, wager or any other similar activity, whether or not it is for a pecuniary benefit", further under sub-clause (b) "business" includes- "any activity or transaction in connection with or incidental or ancillary to sub-clause (a)" and under sub-clause (e) 'business' also includes- "provision by a club, association, society, or any such body (for a subscription or any other consideration) of the facilities or benefits to its members". As per item 2(r) under 'Definitions' appended to the Notification No. 1136-F.T. dated 28.06.2017 under the WBGST Act, 2017 and corresponding Notification No. 12/2017(rate) under the CGST Act, 2017, "charitable ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es collected from the members are utilised entirely for funding charitable work and towards administrative expenses incurred in the furtherance of the objectives of the organisation. 11. Hence, the main activity of the club is charitable work as claimed by the Appellant has no firm base to stand on. 12. Inner Wheel Club membership can only be availed against payment of annual membership fees, renewable annually. Only the members are granted various facilities and/or benefits, enabling them to attend conventions/meetings for the furtherance of the objectives of the Organisation. Such facilities/benefits are not available to the non-members of the Organisation. 13. Goods and Services Tax is levied on intra-State and inter-State supply of g ..... X X X X Extracts X X X X X X X X Extracts X X X X
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