HOSTEL SERVICE

[shailendra parakh]

Dear Sir,

With regard to GST ,my query is with regard to Exemption from Renting of Immovabel Property.

Facts for this discussion are as under:

Charges collected for residential and lodging of the students (esp college students ) staying in hostel owned by private commercial entity will be liable to GST.(3 student in one room, Total ₹ 450=00 per day for 3 student ) ,{without mess facility } ,for 1 month ₹ 13500=00,for year ₹ 162000-00 (nos.of student.-200 ) ,charges collected in two instalment

Further students are just residing and availing mess facility in the hostel premises,

Mess facility charges and Rent is collected seperately?, Mess facility charges collected by other person ,

BUT EDUCATION IS OBTAINED FROM COLLEGES not connected in any way with the hostel activity?

Whether it will fall under commercial places meant for residential dwelling or lodging purpose? Your early comments on the aforesaid discussion wil b highly appreciated.You may reply detailed discussion on

[email protected]

Sir, Can it be said as renting of residential dwelling for use as residence by students?

Thank you in anticipation.

[KASTURI SETHI]

Undoubtedly, it is a commercial activity.

[shailendra parakh]

Dear sir

What about GST ,for said activity.

Thanks

[KASTURI SETHI]

GST @18%. CGST @ 9% + SGST @ 9%

[shailendra parakh]

Dear sir ,

Thanks for ur feedback

Can we collectct charges for residential and lodging of the students (esp college students ) staying in hostel owned by private commercial entity on per day basis, ie ₹ 150 per day per

student in one room 3 student ,in this case GST is NIL .

[KASTURI SETHI]

Yes. It is exempted vide Notification no.12/17-Central Tax(Rate) dated 28.6.17 Serial no.14.

[shailendra parakh]

Dear sir

Thanks for same

Sir, For How much days same student stay in hostel, as per ur last reply. Is it possible for 1 year also. Is there any effect On GST.

Awaiting for valuable reply.

AI Summary

Exemption for residential renting may apply to private hostels, affecting GST liability when accommodation qualifies as dwelling.
Taxability of privately run student hostels hinges on whether the accommodation is characterised as taxable lodging services or as renting of a residential dwelling exempt under the statutory exemption referenced in the discussion; separately charged mess services may be treated as distinct supplies, and the correspondence raises-without resolving-whether duration of stay alters applicability of the exemption.