Case Law Details
In re Shri Digamber Jain Sidhkut Chaityalaya Temple Trust (GST AAR Rajasthan)
The Authority for Advance Ruling (AAR) in Rajasthan has addressed the issue of whether the entry fee collected by the Shri Digamber Jain Sidhkut Chaityalaya Temple Trust is taxable under the GST Act. This ruling sheds light on the taxation of entry fees for religious visits.
1. Background of the Applicant: The Shri Digamber Jain Sidhkut Chaityalaya Temple Trust, registered under Section 12AA of the Income Tax Act, is engaged in religious activities aimed at advancing the Jain religion. The trust collects entry fees from visitors for maintaining the temple and promoting Jainism.
2. Understanding GST Applicability: The GST Act defines “supply” broadly to include all forms of goods or services exchanged for consideration. Therefore, the service provided by the trust, i.e., allowing visitors to access the temple hall for religious purposes, falls under the ambit of supply.
3. Exemption under GST: However, Notification No. 12/2017 provides an exemption for certain charitable activities, including those related to the advancement of religion. Since the activities of the trust align with the advancement of religion, the entry fee collected by the trust is exempt from GST.
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