9911796707
TMI Blog2020 (9) TMI 337X X X X Extracts X X X X X X X X Extracts X X X X ..... ct, 2017 read with Rule 104 of CGST Rules, 2017 and Section 97 of the KGST Act, 2017 read with Rule 104 of KGST Rules 2017, in FORM GST ARA-01 discharging the fee of Rs. 5,000/- each under the CGST Act, KGST Act and IGST Act. 2. The applicant is a proprietary concern having brand name of "Bangalore Medical System" and registered under the provisions of the Goods and Services Act, 2017. They are into supply of various reagents/ medical consumables (goods) in addition to provision of diagnostic services. The applicant have been Molecular Diagnostic services by M/s. Kidwai Medical Institute of Oncology, Bengaluru, a Karnataka Government hospital. They have been allotted around 5000 sq. ft. of room space to establish & set up a complete Molecu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Manager of the above concern appeared for personal hearing proceedings on 30.07.2020 before this authority, reiterated the facts furnished in the application and also submitted as under: 5.1 The applicant established a full fledged laboratory in the premises of the Kidwai Memorial Institute of Oncology and provides the service of diagnostic testing on the samples sent by the hospital. They charge the hospital for the services rendered. 5.2 The applicant claims that the services being provided to the Institute, which is a hospital, are exempted from tax under the CGST / KGST / IGST Act 2017. Further a lot of fixed assets in the form of instruments, furnitures & fixtures purchased and have been capitalized in the books of accounts, thus the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) of paragraph 2 of the Notification supra and reads as under: "(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, but does not include 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;" In the instant case the services provided by the applicant are by way of diagnosis of an illness and hence the same are covered under "health care services" ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under: "(2) Where the goods or services or both are used by the registered person partly for effecting taxable supplies including zero-rated supplies under this Act or under the Integrated Goods and Services Tax Act and partly for effecting exempt supplied under the said Acts, the amount of credit shall be restricted to so much of the input tax as is attributable to the said taxable supplies including zero-rated supplies." Therefore the applicant need to restrict the credit to the amount attributable to taxable supplies including zero rated supplies in the case of both capital goods as well as reagents/consumables or drugs. Further if the applicant claims depreciation on the tax component of capital goods and plant & machinery, under In ..... X X X X Extracts X X X X X X X X Extracts X X X X
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