GST on Housekeeping Services provided to Indian Institute of
Information Technology, Design and Manufacturing (IIITDM), Kancheepuram
Summary of
Advance Ruling:
The applicant sought a
ruling on whether their housekeeping/cleaning services provided to IIITDM
Kancheepuram, an institute of national importance funded by the Government
of India, are exempt from GST under Notification No. 13/2023-CT(Rate),
dated 19.10.2023 or under any other exemption.
The Authority ruled
that such services are taxable, and the applicant cannot raise invoices
without charging GST.
Ruling Number: Advance
Ruling No. 13/ARA/2025
Date of Ruling: 29 April
2025
Ruling Authority: Tamil
Nadu Authority for Advance Ruling (TN-AAR)
Name of Applicant: M/s.
Srinacss Enviro Private Limited
Questions
Raised in the Application:
1. Whether
cleaning and sanitary services under “Housekeeping” provided to IIITDM
Kancheepuram are exempt from GST?
2. Whether
the letter from IIITDM dated 09.05.2024 justifying exemption under Notification
No. 13/2023-CT(Rate) is valid?
3. Whether
it is lawful to raise invoice without charging GST based on the
Institute’s request?
Relevant
Sections / Notifications:
- Section 97(2)(b) & (e)
of CGST Act, 2017 – Grounds for seeking ruling
- Notification No. 13/2023-CT (Rate)
dated 19.10.2023 – Inserts Entry 3B in Notification
No. 12/2017
- Notification No. 12/2017-Central Tax
(Rate) dated 28.06.2017
- Clause (zf)
– Definition of “Governmental Authority”
- Sl. No. 66 of Notification No.
12/2017 – Exemption to educational
institutions
Submission
by the Applicant:
- The applicant provides environmental
services, including cleaning, toilet cleaning, gardening, and
security.
- IIITDM is a Government of
India-established institute.
- Based on Notification No. 13/2023,
IIITDM has requested them not to charge GST on invoices.
- They classified IIITDM as a Governmental
Authority and the services as sanitation.
Documents Submitted:
- Tender and work order
- IIITDM’s letter dated 09.05.2024
- Notification No. 13/2023
Discussion
and Findings by AAR:
1. Nature
of Services:
o Applicant
is providing housekeeping/cleaning services, not sanitation, water
supply, or solid waste management.
o Invoices
refer to “Cleaning Service Charges” and “Manpower supply at Admin &
Academic Blocks.”
2. Notification
13/2023 – Entry 3B:
o Grants
exemption for services like sanitation, water supply, solid waste management,
etc., provided to Governmental Authorities.
o IIITDM
does not qualify as a “Governmental Authority” under clause (zf) of
Notification 12/2017, since it does not carry out municipal or panchayat
functions under Articles 243W or 243G.
3. Educational
Institution Exemption (Sl. No. 66):
o Available
only to institutions providing education up to higher secondary level.
o IIITDM
is a higher education institution – not eligible for this exemption.
4. Misinterpretation
by IIITDM:
o IIITDM's
request to raise invoice without GST based on sanitation exemption is misplaced.
o Housekeeping
is not equivalent to sanitation services for exemption purposes.
Answers to
Questions:
1. No,
the housekeeping/cleaning services provided to IIITDM are not exempt
from GST.
2. The
letter from IIITDM dated 09.05.2024 does not justify exemption under
Notification 13/2023.
3. It
is not lawful for the applicant to raise invoice without charging GST
for such services.
Conclusion:
- The services rendered by M/s.
Srinacss Enviro Pvt. Ltd. to IIITDM are purely housekeeping/cleaning in
nature.
- IIITDM does not qualify as a
“Governmental Authority” under GST law.
- Notification No. 13/2023 and Sl. No.
66 of Notification No. 12/2017 do not apply.
- Therefore, the applicant must
charge GST on invoices raised for such services.
Disclaimer: All the Information is based on the notification, circular advisory and order issued by the Govt. authority and judgement delivered by the court or the authority information is strictly for educational purposes and on the basis of our best understanding of laws & not binding on anyone.
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