whether GST is applicable on School premises rent
A school in a Municipality Building on rent. Rent is paid monthly to Municipality. Municipality now demands GST on the Rent. Is there any exemption available to school from paying GST. School is exempted from Income Tax payment u/s 12A. School is run by TRUST. Seeking experts' opinion/views on this matter. more
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Dear Nambiar, The provsions of ACT does not enable you to avoid payment of GST. If you examine the rent agreement executed with Municipality there may not be a clause to pay GST or TAx.Examine. If the school is doing a service to many poor people,then the Municipal council can take decision to bear the GST by themselves. Kindly discuss with Municipal Officials/council.You may also highlight to them that the school is exempted from Income Tax considering the social service by the school.The Municipality may agree to subsume the GST more
Nov 29
Dear Nambiar Renting a premises is a service under GST. Hence GST on rent has to be paid as running a school is a business. If you and the Municipality are unregistered under GST ,then no need to pay GST on school rent. more
Nov 29
I cannot term the school running as a business but we give education at low fees. we do not get any govt aid and therefore we cannot give free education. however, poorest parents are exempted from paying fees. this year we have such poorest parents numbering 28. A committee goes thru all income and expenditure of those parents and decide. more
Nov 29
School is NOT registered under GST as we only pay we have no service to receive GST. If so, I believe I may be able to set off. Municipality is registered under GST and they give us the bldg premises on rent. Any exemption available. Experts please opine/advise. we charge less fees comparing other schools in the locality and it is full of poor school children who cannot afford other schools. more
Nov 29
Dear Sir, I saw your mail. I think I know you. My name is Karunakaran and I belong to Kannur of Kerala. Can I know your place. On Wednesday 29 November 2017, 8:38:03 AM IST, Damodaran Nambiar wrote: more
Nov 29
i am presently in mumbai but my origin is Taliparamba/Cherukunnu, Kannur. Studied in Moothedath High School. more
Nov 29
At present there is no exemption on renting of immovable property for educational purpose i.e. running of a school. Therefore Municipality can charge GST on rent if its total rental income exceeds Rs.20 Lakhs in a year. I suggest please make a representation to GST Council for exemption of rent paid for school premises. more
Nov 29
OFFHAND For a quick guidance and further action, may find useful clues @https://www.facebook.com/swaminathanv3/posts/1506619769414304?pnref=story courtesy more
Nov 29
