Corrigendum to Circular No. 28/02/2018-GST

Circular No.: 28/02/2018-GST (as amended)
Date of Circular: 8th January 2018
Date of Corrigendum: 18th January 2018
Relevant Sections and Rules:

• Central GST Act, 2017: General charging provisions
• Relevant Notifications:
  • Notification No. 11/2017-CT (Rate) – Sl. No. 7(i)
  • Notification No. 46/2017-CT (Rate) dated 14.11.2017
  • Notification No. 12/2017-CT (Rate) – Sl. No. 66(a)
  • Para 2(y) of Notification No. 12/2017 – Definition of “educational institution”

Summary of Circular (with Corrigendum):

This circular, as corrected, clarifies the GST treatment of hostel mess/canteen services in educational institutions, distinguishing between services provided by the institution and those outsourced.

1. If Provided by the Educational Institution Itself:
   • Exempt from GST under Sl. No. 66(a) of Notification No. 12/2017-CT (Rate),
     provided the institution falls within the definition under Para 2(y) of the same notification.
2. If Provided by a Third Party (Not the Institution):
   • Treated as supply of service under Sl. No. 7(i) of Notification No. 11/2017-CT (Rate)
   • Attracts 5% GST (without ITC), as per amendment made by Notification No. 46/2017-CT (Rate) effective from 15.11.2017.

Source: Circular No.: 28/02/2018-GST (as amended)