Home GST 12% GST Levy on Disposal and Treatment Services of Bio-Medical Waste

12% GST Levy on Disposal and Treatment Services of Bio-Medical Waste

12% GST Levy on Disposal and Treatment Services of Bio-Medical Waste

Rajasthan AAR's Order for M/S Instromedix Waste Management Private Limited

In a latest determination, the Rajasthan Authority for Advance Ruling (AAR) bench famous that 12% Items and Service Tax (GST) would apply to Companies of Disposal and Remedy of Bio-Medical Waste collected from Scientific Institutions.

The issue is to be determined if the companies of disposal and therapy of Bio-Medical Waste obtained from scientific institutions have been obligated to tax.

The petitioner asks for an advance ruling in the direction of the classification of companies encompassed by the SAC code 999432 – Non-hazardous waste therapy and disposal companies.

The petitioner is engaged within the disposal and therapy of biomedical waste generated by way of scientific installations at a facility that the state authorities allotted. They used to gather biomedical waste from accredited institutions and get rid of or deal with it at their facility, assessing a predetermined payment below state insurance policies.

Underneath Chapter Heading 009433 of the SAC codes as outlined by Items and Companies Tax legal guidelines such companies are labeled.

The petitioner was granted a private listening to dated 16.11.2023 and 01.01.2024. CA Abhay Gangwal appeared on behalf of the applicant for the non-public listening to. He repeated the submission is been accomplished earlier than in written submission and likewise furnished an software for the correction of the previous para for in search of advance ruling over protection of companies lined below SAC 999433- “Non-hazardous waste therapy and disposal companies to SAC 999432-“Hazardous waste therapy and disposal companies.

Learn Additionally: KAAR: GST Exemption on Provide of Meals, Medicines, Medicine, and so on. to In-Sufferers of a Hospital

The AAR bench of Mahipal Singh (Central Tax member) and Mahesh Kumar Gowla (State Tax member) acknowledged that the service of disposal and therapy of Bio-Medical obtained by way of scientific institution (9994) was levied to tax vide Notification No. 03/2022- Fee) on 13.07.2022 (efficient from by amending Notification No. 11/201 ICI (Fee) dated 28.06.2017 with a price of 6% (CGST).

Subsequently, 12% GST (6% SGST + 6% CGST) is charged for these companies. Subsequently, the registered seller is obligated to file GST on the aforementioned service.


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