In re Indian Institute of Technology Roorkee (GST AAR Uttarakhand)
The Authority for Advance Ruling, Uttarakhand examined an application filed by Indian Institute of Technology Roorkee under Section 97 of the Central Goods and Services Tax Act, 2017 and the corresponding State Act. The applicant sought an advance ruling on the GST applicability to electricity charges recovered from commercial occupants located within its campus.
The applicant stated that, apart from providing educational services, it allotted campus premises to certain commercial occupants for a monthly consideration in the nature of licence fees. Electricity was supplied by Uttarakhand Power Corporation Limited through a main meter in the applicant’s name, and the applicant recovered electricity charges from commercial occupants based on actual consumption recorded through sub-meters. Relying on CBIC Circular No. 206/18/2023-GST dated 31.10.2023, the applicant contended that it acted as a “pure agent” while recovering electricity charges and therefore was not required to levy GST on such recoveries. On this basis, it sought rulings on whether it qualified as a pure agent, whether it fell within the categories mentioned in the circular, whether GST was payable on recovered electricity charges, whether such recovery was exempt for an educational institute, and, if taxable, the applicable SAC and rate.
