Amendments to Notifications under the Tamil Nadu Goods and Services Tax Act, 2017
The Commercial Taxes and Registration Department, Government of Tamil Nadu, issued G.O. Ms. No. 114, Commercial Taxes and Registration (B1), dated 22nd July 2022, and G.O. Ms. No. 115, Commercial Taxes and Registration (B1), dated 22nd July 2022, to amend two notifications issued in 2017 under the Tamil Nadu Goods and Services Tax Act, 2017. The amendments change GST treatment for several services, including residential dwellings rented to registered persons, transport, healthcare, biomedical waste treatment, postal services and warehousing.
What the notifications change
G.O. Ms. No. 114, Commercial Taxes and Registration (B1), dated 22nd July 2022, amends Commercial Taxes and Registration Department Notification No. II(2)/CTR/532(d-14)/2017. It revises entries concerning transport and healthcare services, removes certain existing entries, adds definitions and introduces an option form for Goods Transport Agencies.
G.O. Ms. No. 115, Commercial Taxes and Registration (B1), dated 22nd July 2022, amends Commercial Taxes and Registration Department Notification No. II(2)/CTR/532(d-15)/2017. Among other changes, it narrows the entry for renting a residential dwelling by excluding cases where the dwelling is rented to a registered person.
Who may be affected
The Commercial Taxes and Registration Department amendments may affect:
- Owners or landlords renting residential dwellings to GST registered persons.
- Businesses registered under GST that rent residential premises.
- Goods Transport Agencies and businesses purchasing their services.
- Operators and users of passenger or goods ropeways.
- Persons renting goods carriages where fuel is included in the charge.
- Clinical establishments providing higher priced rooms or arranging biomedical waste treatment.
- Users of specified Department of Posts services.
- Providers of cereal, pulse, fruit and vegetable storage or warehousing.
Key provisions
- The exemption wording for renting a residential dwelling is changed to exclude a residential dwelling rented to a registered person.
- Passenger and goods transport by ropeways are added as separate service entries, subject to conditions concerning input tax credit.
- Goods Transport Agencies may choose to pay GST on their services under forward charge. The choice must be made using the new Annexure V form submitted to the jurisdictional GST authority.
- A Goods Transport Agency option generally must be exercised by 15th March of the preceding financial year. For the financial year 2022-2023, the deadline stated is 16th August 2022.
- Clinical establishment rooms, other than listed intensive or critical care units, with room charges exceeding Rs. 5000 per day are added to the service table, subject to the stated input tax credit condition.
- Biomedical waste treatment or disposal services provided by a common biomedical waste treatment facility to a clinical establishment are separately listed.
- Specified Department of Posts services, including postcards, inland letters, book post and ordinary post in envelopes weighing less than 10 grams, are listed with Nil entries.
G.O. Ms. No. 114 is deemed to have come into force on 18th July 2022.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Does the notification affect a residential property rented to a GST registered person?
Yes. G.O. Ms. No. 115 changes the exemption wording for renting a residential dwelling so that it excludes a dwelling rented to a registered person.
When did the amendments in G.O. Ms. No. 114 take effect?
G.O. Ms. No. 114 is deemed to have come into force on 18th July 2022.
How does a Goods Transport Agency choose to pay GST under forward charge?
The Goods Transport Agency must submit the new Annexure V option form to its jurisdictional GST authority. Once exercised, the option cannot be changed for one year and remains valid until the end of the relevant financial year.
Are all hospital room charges covered by the new clinical establishment entry?
No. The entry covers rooms with charges exceeding Rs. 5000 per day and excludes Intensive Care Units, Critical Care Units, Intensive Cardiac Care Units and Neo natal Intensive Care Units.
