GST on membership fee paid by truck owner to its association (Truck Owner's Association)

[Ayub Mohammad]

Truck owners pay an annual membership fee to Truck Owners' Association of their area. If such membership fee attracts GST?

[KASTURI SETHI]

Conditional exemption is available. See serial no.77A of Notification No.12/17-CT(R) dated 28.6.17 as amended vide Notification No.14/18-CT(R) dated 26.7.2018 effective from 27.7.18. If membership fee is less than ₹ 1000/- per member per year, exemption is available. Go through above notifications. Notification No.14/18-CT(Rate) amends original Notification No.12/17-CT(R) dated 28.6.17.

[Ganeshan Kalyani]

I agree with Sri Kasturi Sir's view.

AI Summary

Truck Owners' Association Membership Fees Under 1000 Exempt from GST per Notifications 12/17-CT(R) & 14/18-CT(R) Truck owners who pay an annual membership fee to their local Truck Owners' Association may be subject to GST. However, there is a conditional exemption available as per Notification No. 12/17-CT(R) and its amendment Notification No. 14/18-CT(R). If the membership fee is less than 1000 per member per year, it is exempt from GST. This exemption has been effective since July 27, 2018. Both responses in the discussion agree on this interpretation of the GST applicability on membership fees.