Note: Under Section 100 of the CGST/RGST Act, 2017, an appeal against this ruling lies before the Appellate Authority for Advance Ruling constituted under section 99 of CGST/RGST Act, 2017, within a period of 30 days from the date of service of this order.
a. Classification of goods and / or Services or both;
e. determination of the liability to pay tax on any goods or services or both;
1. SUBMISSION AND INTERPRETATION OF THE APPLICANT:
2. QUESTIONS ON WHICH THE ADVANCE RULING IS SOUGHT:
a. What is applicable rate of GST on Entry Fees collected for allowing entry in to Municipal Park Subhash Udhyan?
b. What is applicable rate of GST on ticket charges for Toy Train facility provided in Municipal Park Subhash Udhyan?
c. What is applicable rate of GST on ticket charges for Pedal Boat facility provided in Municipal Park Subhash Udhyan?
3. PERSONAL HEARING
In the matter personal hearing was granted to the applicant on 05.09.2019 at Room no. 2.29 NCRB, Statue Circle, Jaipur. On behalf of the applicant Shri Sanjeev Jain, C.A. (Authorized Representative) appeared for PH. At the time of PH, he was intimated that CGST component of fee is not yet deposited. He assured that fee will be deposited at earliest. He reiterated the submissions already made in the original application. He requested for early disposal of the application.
4. COMMENTS OF THE JURISDICTIONAL OFFICER
The jurisdiction officer(Assistant Commissioner, State Tax, Circle-B, Ward-II, Ajmer) has submitted his comments vide letter dated 07.08.2019and stated that, activity carried out by the applicant such as entry fee, facilities such as Toy train, Pedal Boat are covered under Services by way of Admission to Entertainment Events or Access to Amusement Facilities (HSN 9996) and are taxable @ 18% GST.
5. FINDINGS, ANALYSIS & CONCLUSION:
The applicant is presently charging fee for allowing entry of visitors into Subhash Udhyan and for facilities such as Toy train, Pedal Boat etc. on chargeable basis.
The above mentioned activities are covered under Chapter Heading 9996 (Recreational Cultural and Sporting Services) under Notification No. 11/2017- Central Tax (Rate) dated 28.06.2017 (as amended). The relevant extract of the Notification is reproduced below:
Sl. No. | Chapter, Section or Heading | Description of Service | Rate (per cent.) | Condition |
34 | Heading 9996 (Recreational Cultural and Sporting Services) | (i) Services by way of admission or access to circus, Indian classical dance including folk dance, theatrical performance, drama [or planetarium]73 | 9 | – |
(ii) Services by way of admission To exhibition of cinematograph films where price of admission ticket is one hundred rupees or less. |
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| ||
[(iii) Services by way of admission to amusement parks including theme parks, water parks, joy rides, merry-go rounds, go- carting and ballet. | 9 – | }74 | ||
[(iiia) Services by way of admission to entertainment events or access to amusement facilities including exhibition of cinematograph films, casinos, race club, any sporting event such as Indian Premier League and the like. | 14 | -}75 | ||
(iv) Services provided by a race club by way of totalisator or a license to bookmaker in such club. | 14 | – | ||
(v) Gambling. | 14 | – | ||
(vi) Recreational, cultural and sporting services other than (i), (ii), (iii), [(iiia),]76 (iv) and (v) above. |
| – |
In view of the above, the rate of GST on entry fee, ticket charges for Toy Train facility and for Pedal Boat facility provided in Subhash Udhyan (Municipal Park)) is 18% (SGST 9%+CGST 9%)
6. In view of the foregoing, we rule as follows:-
RULING
The rate of GST on fee collected for entry into Subhash Udhyan (Municipal Park), ticket charges for Toy Train facility and ticket charges for Pedal Boat facility provided in Subhash Udhyan is @18% (SGST 9% +CGST 9%).