Gst exemption for sez units

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This query is : Resolved

SIJU VARGHESE (Querist)

13 February 2018 Dear Experts,

Whether Accommodation and Restaurant Services provide to a SEZ unit by a Hotel in hotel premises located outside the SEZ but within the same State/Jurisdiction is liable for GST?

Please reply

Thanks & Regards

Arpit

Arpit (Expert)

13 February 2018 Hotel shall charge IGST

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SIJU VARGHESE

SIJU VARGHESE (Querist)

13 February 2018 Sir, Thanks for your reply.
Whether the hotel can treat the same as zero rated supply?
As per Section 12 of IGST Act'2017 in the case of Accommodation or Restaurant Service the place of provision shall be the location where the services are actually performed. In such case, CGST and SGST is to be charged. Whether the place of provision is applicable to SEZ units?

Joswin Punchakunnel

Joswin Punchakunnel (Expert)

13 February 2018 Supply made to SEZ comes within the meaning of zero rated supply as per section 16 of IGST Act. Kindly note that as per section 7(5) of IGST Act supply made to an SEZ shall be considered as an interstate supply. Hence IGST shall be applicable irrespective of the fact that place of supply is the locatin of hotel itself.

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SIJU VARGHESE

SIJU VARGHESE (Querist)

13 February 2018 Thank
you
sir....

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