Appellate authority upholds ruling on GST for dormitory beds and 2 BHK units.

The appellate authority upheld the lower authority's ruling, dismissing the appeal on all counts. The renting of dormitory beds and 2 BHK units does not qualify for GST exemption under entry No 13(b) of Notification No 12/2017 CT (R) dated 28-06-2017, and both are liable to GST as single units. The delay in filing the appeal was condoned due to bona fide reasons.

---

---

Issues Involved:
1. Condonation of delay in filing the appeal.
2. Exemption from GST on renting of dormitory beds.
3. Exemption from GST on renting of 2 BHK units.

Detailed Analysis:

1. Condonation of Delay in Filing the Appeal:
The Appellant sought condonation of a 23-day delay in filing the appeal, citing that the person in charge of taxation matters was occupied with a religious function. The impugned order was received on 10-10-2019, and the appeal was due by 09-11-2019 but was filed on 03-12-2019. The authority condoned the delay, exercising the power under the proviso to Section 100(2) of the CGST Act, considering the reasons as bona fide.

2. Exemption from GST on Renting of Dormitory Beds:
The Appellant argued that the charges for dormitory beds, which are less than Rs. 1000 per bed per day, should be exempt under entry No 13(b) of Notification No 12/2017 CT (R) dated 28-06-2017. The lower authority ruled that the renting of dormitory beds is not akin to renting of rooms and thus does not qualify for the exemption. The appellate authority upheld this ruling, stating that renting out beds in a dormitory is not covered under the said notification and is liable to GST as a single unit.

3. Exemption from GST on Renting of 2 BHK Units:
The Appellant contended that the charges for renting 2 BHK units, which are less than Rs. 1000 per room per day, should be exempt. The lower authority held that the renting of 2 BHK units, which include multiple rooms and facilities, does not qualify as renting of rooms under the exemption notification. The appellate authority agreed, stating that a 2 BHK unit is considered a single unit of accommodation and not individual rooms. Thus, it does not qualify for the exemption and is liable to GST as a single unit.

Conclusion:
The appellate authority upheld the lower authority's ruling, dismissing the appeal on all counts. The renting of dormitory beds and 2 BHK units does not qualify for GST exemption under entry No 13(b) of Notification No 12/2017 CT (R) dated 28-06-2017, and both are liable to GST as single units. The delay in filing the appeal was condoned due to bona fide reasons.

---