Health care services provided by Hospital managed by Charitable Trust is exempt under Notification No.12/2017 CT Rate dated 28.06.2017.GST On Hospital Managed By Charitable Trust is exempt. To Give better health care services to need and poor people some charitable trust runs hospitals. In Such hospitals specialist doctors also provide health care services to people.
Above Notification also defines what means by the health care services for Hospitals. As per Clause (zg) “health care services” means any service by way of diagnosis or treatment or care for illness, injury, deformity, abnormality or pregnancy in any recognised system of medicines in India and includes services by way of transportation of the patient to and from a clinical establishment. Such services provided by doctors and paramedics either provided as employer or in individual capacity is exempt.
Notification Clause (zg) state that following services does not mean as exempt health care services hair transplant or cosmetic or plastic surgery, except when undertaken to restore or to reconstruct anatomy or functions of body affected due to congenital defects, developmental abnormalities, injury or trauma;
Charitable Hospital appoints specialist doctors , nurses and provide medical services to patients at concessional rate such service not liable for GST. However hospital hires specialist doctors as visiting and deduct fees payable from consulting fees payable to doctors and agreement between hospital consultant doctor is such that some money is charged for providing services to doctors , then there may be GST on such amount deducted from fees paid to doctors.
No Input Tax Credit Allowed GST On Hospital Managed By Charitable Trust
Charitable Hospital who providing exempt medical services shall be eligible to take input tax credit.
Earliest of following date shall be considered as time of supply.
|Particulars||Date of completion of service||Date of Invoice||Date of receipt of payment||Date of entry in BOA of Recipient||Time of supply||Time of Supply|
|a||Invoice issued within the prescribed period||Jul-05||Jul-20||Aug-11||Jul-27||Jul-20|
|c||Invoice not issued within the prescribed period||Jul-01||Aug-05||Jul-22||Jul-23||Jul-01|
Food supplied to patients as instructions of the doctor/nutritionists is a part of composite supply of healthcare and not separately taxable.
Food Supplied by outside canteen to Hospitals , GST applicable ?
Where foods is prepared by outdoor canteen in such case canteen may charge GST on such supplies and Hospital may take Input tax credit for such supplies.