Medical Monitoring Services To Senior Citizens At Door Step Attract 18% GST: West Bengal AAR

The West Bengal Authority for Advance Ruling (AAR) has ruled that services of regular medical monitoring, along with other logistical support, provided by the applicant to senior citizens at their doorsteps, attract 18% GST.

The two-member bench of Brajesh Kumar Singh and Joyjit Banik has observed that supply by way of health care services qualifies for exemption if it is provided by a clinical establishment, an authorised medical practitioner, or paramedics. The applicant does not fall under any of the categories of suppliers, and the services provided by the applicant, therefore, fail to qualify as exempt services.

The applicant is providing services for health care to senior citizens, which include arranging doctors and nurses, taking the clients to any diagnostic centre, and supplying oxygen and physical support as per the requirements of such senior citizens. The applicant runs a membership programme where clients opt for the services as per their requirements. The applicant also provides services to its members, such as the delivery of medicines and grocery items to their homes, help with bank work, utility bill payments, etc.

The applicant has submitted that it aims to create a community where seniors can lead a physically and emotionally healthy and dignified life. The applicant provides services for accompanying members on essential and social outings, accompanying members to the bank and post office, organising social gatherings and entertainment programs, etc.

The applicant sought an advance ruling on the issue of whether the services rendered by the applicant for health care to senior citizens at their doorstep come under the exemption category and what will be the classification of such services.

The applicant contended that services by professionals when provided on an individual basis are exempt from GST, and so are clinical establishments. The nature of services being provided by the applicant at the doorstep of senior citizens should also fall under the exemption category.

The AAR observed that the services provided by the applicant can be termed "human health and social care services" and are taxable at a rate of 18%.

Applicant’s Name: Snehador Social & Health Care Support LLP

Date: 22.12.2022

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