GST ON PRIVATELY OWNED HOSTELS ?

[ROHIT GOEL]

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 college students staying in hostel owned by private commercial entity will be liable to GST.(Total 500 rooms, rent 5000 per room)

Also 200 flats provided to Staff, rent around 15000 per flat.

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

Mess facility charges and Rent is collected separately? 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 will b highly appreciated.

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

Whether GST is applicable on it or not?

Thank you in anticipation.

AI Summary

GST Applies to Private Hostel Lodging and Mess Facilities; Hostel Classified as Commercial, 18% GST on Catering Services A query was raised about the applicability of GST on a privately owned hostel providing lodging to college students and staff, with separate charges for mess facilities. The discussion clarified that the hostel is considered a commercial entity under GST and Service Tax laws, similar to hotels or paying guest accommodations, as it is not affiliated with any educational institution. Therefore, GST is applicable. The mess facility is treated as an outdoor catering service, attracting an 18% GST. Exemptions exist for charges below certain thresholds, but these do not apply in this case.