Indian Society of Critical Care Medicine {AUTHORITY FOR ADVANCE RULINGS, GUJARAT}
Indian Society of Critical Care Medicine {AUTHORITY FOR ADVANCE RULINGS, GUJARAT}:
Date of Order : 11-05-2022
simplified explanation and elaboration based on the Advance Ruling provided:
Composite Supply of Services by ISCCM
The Indian Society of Critical Care Medicine (ISCCM) organizes conferences in the field of critical care medicine. They offer a comprehensive package to delegates which includes:
- Technical seminars: Educational sessions related to critical care medicine.
- Access to exhibition: Opportunity for delegates to explore related products and services.
- Accommodation: Hotel room stay for the duration of the conference.
- Cultural programs: Additional activities included in the conference agenda.
- Meals: Lunch and dinner during the conference.
- Airport pick up and drop: Transportation services to and from the airport.
Classification: This package is classified as a composite supply under GST. A composite supply consists of two or more taxable supplies of goods or services which are naturally bundled and supplied in conjunction with each other. In this case, the principal supply (the main purpose) of ISCCM is deemed to be the professional service of imparting knowledge through workshops and seminars on critical care medicine. Therefore, it is classified under SAC 998399.
Exhibition Organization Services
ISCCM also organizes exhibitions as part of their conferences, where exhibitors showcase products and services related to critical care medicine.
Classification: The service provided to exhibitors for organizing the exhibition is classified under SAC 998596. This category pertains specifically to “Exhibition, Trade show organization and assistance services.”
Sponsorship Services
ISCCM offers sponsorship opportunities to businesses that wish to promote their brands during the conference. Sponsorship services include:
- Displaying logos on stage backdrops, vehicles, and promotional materials.
- Featuring brands in event souvenirs and media.
- Providing presentation slots and DVD displays.
Classification: These sponsorship services are classified under SAC 998397. GST liability for these services depends on whether the recipient of the sponsorship service is a body corporate or partnership firm located in a taxable territory. If so, GST is applicable under reverse charge mechanism; otherwise, ISCCM charges GST directly.
Input Tax Credit (ITC)
ISCCM is eligible for Input Tax Credit on various expenses incurred in organizing the conference and exhibition, including:
- Convention facilities
- Accommodation provided by hotels/caterers
- Food and beverages
- Rent-a-cab services (with approved seating capacity)
- Exhibition stall setup and tenting
Eligibility: ITC is admissible under Section 16 and 17 of the Central Goods and Services Tax Act, 2017. This allows ISCCM to claim credit for GST paid on inputs and services used in the course of providing their taxable output services.
Conclusion
The Advance Ruling clarifies the GST treatment for ISCCM’s activities related to organizing conferences and exhibitions in the field of critical care medicine. It confirms the classification of services provided, outlines the GST liability for sponsorship services, and specifies the eligibility of ISCCM to claim Input Tax Credit on expenses related to organizing such events. This ruling provides clarity and guidance for ISCCM in complying with GST regulations for their educational and promotional activities.
