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TMI Blog2019 (7) TMI 1106X X X X Extracts X X X X X X X X Extracts X X X X ..... d application is not maintainable - No proceeding of Advance Ruling under the GST Act lies in the instant case - GST-ARA-137/2018-19/B-66 - - - Dated:- 4-6-2019 - SHRI B. TIMOTHY, AND SHRI B.V. BORHADE MEMBER PROCEEDINGS (Under section 98 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017) The present application has been filed under Section 97 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017 [hereinafter referred to as the CGST Act and MGST Act ] by KABRA GALAXY STAR 3 CO-OP HOUSING the applicant, seeking an advance ruling in respect of the following question. Individuals who own flat/s in a society but have opted not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rnment or a State Government Sec 2(17) Business 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; A co-operative society (being a person as defined above) provides services to its member in the form of facilities or benefits to it member (in course of business) for a consideration. Based on above definition and concept of supply co-operative society also gets covered under GST. A Housing Society / Residential Welfare Association shall be required to pay GST on monthly subscription / contribution charged from its members if such subscription is more than ₹ 7500 per member and the annual turnover of Residenti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Government, State Government, Union Territory or Local Authority to a person other than business entity is exempted from GST. So Property Tax, Water Tax, N.A. Tax, Electricity Charges etc., when collected by CHS on behalf of Municipal Corporation or under statutes from Individual flat owner then GST is not leviable. Sec. 2(17) Business 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. Definition of Member in Bye Laws of Housing Society : Member means a person joining in an application for the Registration of a Co-operative Housing Society, which is subsequently registered, or a person duly admitted to Members ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s not providing any other taxable services to its members or outsiders. 2. Exemption of ₹ 7500/- is available to its members only. Issue Individuals who own flat/s in a society but have opted not to become the member of the society. Will they be at par with the other individual flat owner who have opted for the membership of the society, for GST exemption of ₹ 7500/-, or will be treated as outsider and shall be liable for GST without exemption of ₹ 7500/-. 03. CONTENTION - AS PER THE CONCERNED OFFICER The submission, as reproduced verbatim, could be seen thus- 1. Assesse has two types of members a) Flat owners are enrolled as a member of the society and classified as members . b) Fla ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and objects of the society and who is admitted by the society as such member; Expl : As per notification No. 12/2017 - State Tax (Rate) Dated the 29th June 2017 SR. No. 77 Heading 9995, as discussed in point No.2 above it is clear that members are only exempted from GST. In case of Assesse, Non-members are recipient of services provided by society. Hence in my opinion GST is applicable for them. 04. HEARING Preliminary hearing in the matter was held on 09.04.2019. Sh. Ranjan Jhawar, C.A., appeared, and requested for admission of their application. Jurisdictional Officer Ms. Neeta Kadam, State Tax Officer (THA-VAT-C-018) Thane, appeared and made written submissions. The application was admitted and called for final he ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e other individual flat owner who have opted for the membership of the society, for GST exemption of ₹ 7500/-, or will they be treated as outsider and shall be liable for GST without exemption of ₹ 7500/-. . The question that they are asking this authority is, whether members of the society will be at par with the other individual flat owners who are not members. We find that the said question raised by them does not fall under any of the clauses of Section 97(2) of the CGST Act, which is reproduced as under: (2) The question on which the advance ruling is sought under this Act, shall he in respect of,- a. classification of any goods or services or both; b. applicability of a notification issued under the provi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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