GST on Horticulture development and maintenance services

[Megha Jain]

Dear Experts,

I am a proprietorship concern, engaged in providing horticulture development and maintenance of IIT Guwahati campus. IIT Guwahati is an entity established by the Government of India under the Ministry of Education. My query is regarding applicability of rate of tax (12% or 18%) on such services to the government entity.

[Sadanand Bulbule]

GST @ 18% is applicable on horticulture development and maintenance services provided to IIT Guwahati, as no concessional 12% rate is available for such services to Government entities post-2022 amendments.

[Megha Jain]

The services were provided from FY 2017-18 to FY 2022-23.

AI Summary

GST rate on horticulture development and maintenance services for a government-established campus remains the central classification issue. Applicability of GST rate to horticulture development and maintenance services supplied to an institution established by the Government of India. The issue concerns whether such services provided by a proprietorship concern for the upkeep of the IIT Guwahati campus are taxable at 12% or 18%, having regard to the character of the recipient as a government entity and the nature of the services rendered.