M/s. Sapthagiri Hospitality Private Limited (GST AAR Gujarat)
(i) The hotel being located in non-processing zone of Dahez Special Economic Zone whether liable to pay GST on all the services provided by it to the clients located in SEZ which inter-alia included supply of services by way of providing accommodation services, supplying food and beverages and supplying services ancillary to providing accommodation services?
The supplies made by M/s. Sapthagiri Hospitality Private Limited, 17-18, Sapthagiri Complex, Opp. The Gateway Hotel, Near Akota Garden, Akota, Vadodara-390 002 (GSTIN 24AAMCS8870KIZN), a SEZ Co-developer, from their hotel located in non-processing zone of Dahez Special Economic Zone to the clients located in Special Economic Zone for authorized operations will be treated as zero rated supplies under the provisions of Section 16(1) of Integrated Goods and Service Tax Act, 2017 read with Section 2(m) of SEZ Act, 2005
(ii) Under extreme circumstances, if the hotel is required to provide accommodation services to a visitor other than a visitor located in SEZ, whether GST is required to be paid?
The applicant is liable to pay GST on the services from their hotel located in non-processing zone of Dahez Special Economic Zone to the clients located outside the territory of Special Economic Zone under the provisions of Section 5(1) of Integrated Goods and Service Tax Act, 2017.
Also Read AAR Ruling- GST on services provided from hotel located in non-processing zone of SEZ to clients located in SEZ
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING, GUJARAT
The applicant, M/s. Sapthagiri Hospitality Private Limited, has stated that they are in the possession of Letter of Permission No. F.2/9/2003-EPZ dated 21.08.2009 issued by the Ministry of Commerce & Industry, New Delhi in favour of them as a Co-Developer for providing infrastructure facilities to establish a Hospitality Project in non-processing zone of Dahez SEZ. Accordingly, the applicant constructed a hotel in the non-processing zone of Dahez SEZ on the land allotted to it and started hospitality services therein.
