Re Trust Charitable Institution

[Madhavan iyengar]

Dear Sirs

A charitable Trust Regd with Income tax and having benefit of Sec 12AA and conducts Certain spiritual courses one of the Trustees a foreigner is also a instructor and conducts the courses However the Trust has taken a GST Regn as it discharges GST on Services like Accommodtaion / Food offerred to participants attending the courses

Queries

a) Is a Trustee Related party of the Trust and since trustees render the honorary services to the trust

b) If the Instructor Trustee is not paid any remuneration for services of instructor rendered by him to the Trust for course conducted is there any GST Implication

Experts please clarify

AI Summary

Trustees as Related Parties Under GST: Clarifying 'Control' in Advisory or Active Roles in Charitable Trusts A charitable trust, registered under Section 12AA for tax benefits, conducts spiritual courses and has a GST registration for services like accommodation and food provided to participants. A query was raised about whether a trustee, who is a foreign instructor providing unpaid honorary services, is considered a related party under GST regulations. An expert replied that if a trustee exercises control over the trust, they are a related party. Further clarification was sought on whether trustees involved in advisory or active roles in the trust's operations are considered related parties, particularly in defining 'control.'