TaxTMI 
TaxTMI 
The company engages PHD holders of Psychology to provide counseling to employees of its customer. The Beneficiaries are the employees who are facing mental challenges like parenting managing relationships, stress management, and work-life balance, etc. The query is whether the counseling service provided by the company will fall under exempted service if so under what category?
Whether Counselling service is exempt or taxable service in GST?
04 Nov 2022 
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Health care services exemption may apply to counselling services for employees under GST, subject to clinical establishment criteria.
Whether counselling by a company employing PhD psychologists to employees is exempt hinges on Entry No. 74 of Notification No. 12/2017-Central Tax (Rate), which exempts services by way of health care services by a clinical establishment, an authorised medical practitioner or para-medics; applicability is further informed by Circular No. 32/06/2018-GST (serial no.5) and an Authority for Advance Ruling that examined similar counselling services. (AI Summary)
Whether counselling by a company employing PhD psychologists to employees is exempt hinges on Entry No. 74 of Notification No. 12/2017-Central Tax (Rate), which exempts services by way of health care services by a clinical establishment, an authorised medical practitioner or para-medics; applicability is further informed by Circular No. 32/06/2018-GST (serial no.5) and an Authority for Advance Ruling that examined similar counselling services. (AI Summary)