GST - Charitable Organisation

[Ethirajan Parthasarathy]

Notification No. 12/2017 Central Tax (Rate) dt: 28/06/2017, which exempts charitable organizations from GST Law is applicable to organizations Registered u/s 12AA of IT Act 1961.

Section 12AA has come into force w.e.f 01/04/1997

There are older, organizations who are registered u/s 12A of Income Tax Act.

Will this notification apply to such organizations also.

[KASTURI SETHI]

No exemption is admissible to organisation registered under Section 12A of Income Tax Act. The GST department will strictly adhere to Section 12AA only.

[DR.MARIAPPAN GOVINDARAJAN]

Section 12AA prescribes the procedure for registration of trust. Section 12A provides the conditions for registration of trust. Section 12A (2) provides that the registration of trust after 2007 section 11 and section 12 shall be applicable.

AI Summary

GST exemption scope limited to charitable organisations with proper Income Tax Act registration, excluding older registrations. Notification-based GST exemption applies only to charitable organisations registered under section 12AA of the Income Tax Act; organisations registered only under section 12A are not eligible because section 12AA establishes the qualifying registration procedure while section 12A reflects earlier registration conditions.