AAR rules IIM Raipur Foundation consultancy is taxable at 18% GST
In short
The AAR has said IIM Raipur Foundation’s consultancy services for CGSRLM incubation projects are taxable at 18% GST.
It ruled that the exemption for some government-related services cannot be claimed just because the project is funded by the Ministry of Rural Development or run under a government programme.
What the reporting says
The AAR has held that IIM Raipur Foundation’s consultancy services for CGSRLM incubation projects are taxable at 18% GST. It said exemption for services to specified government entities could not be claimed only because the project was funded by the Ministry of Rural Development or implemented under a government-sponsored programme. The ruling clarifies the tax treatment for the services in question.
Why it matters
The AAR ruled that IIM Raipur Foundation’s consultancy services for CGSRLM incubation projects attract 18% GST. It rejected an exemption claim based only on the project being funded by the Ministry of Rural Development or implemented under a government-sponsored programme. The decision affects the tax treatment of the consultancy work and narrows the basis for claiming GST relief on similar services.