HC stays GST notices issued by Kaloji varsity
Hyderabad: The Telangana High Court on Monday stayed the demand notices issued by Kaloji Narayana Rao University of Health Sciences (KNRUH), as to not to insist on nursing colleges affiliated to it to pay GST for the services
rendered by the university.
The varsity issued notices to nursing colleges as it was asked by GST
authorities to pay 9 per cent CGST and 9 per cent SGST for the services and
charges collected for inspection of affiliated colleges, and monitoring
their admissions, conducting exams.
Care Nursing College and others approached the High Court against the
‘illegal’ demand as in the 25th meeting of GST Council (January 18, 2018) it
was decided to recommend that services relating to admission to, or conduct
of examination provided to all educational institutions, be exempt.
Subsequently, a notification was issued to extend the exemption on certain
services provided to all educational institutions.
Gaddam Srinivas, counsel for the college, argued that the university had
very casually and without even contesting the suggestive demand made by GST
authorities, issued demand notices to colleges.
A division bench of the High Court, headed by Chief Justice Ujjal Bhuyan,
stayed the proceedings and posted further hearing to November 22.