Kerala State Government Insurance Department, In re

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The Tax Publishers 2023 TaxPub(GST) 122 (AAR-Ker) : (2023) 109 ITPJ (G) 0696 AUTHORITY FOR ADVANCE RULINGS, KERALA S.L. SREEPARVATHY & ABRAHAM RENN S., MEMBER In re Kerala State Government Insurance Department, Advance Ruling No. KER/130/2021 18 February, 2022 Life insurance service - Government service - Chapter 99 - Pure service - Assessee is a department of state government which is administering various insurance and other benefit schemes of government of Kerala - Assessee introduced a scheme by MoU with Kudumbasree which is a state government agency, to provide 'Subscription based benefit' for compensation in event of death of members of said agency - Subscription from members is collected by Kudambasree and is paid to assessee and benefit is transferred by assessee via Kudambasree - Whether GST is applicable for services offered on MoU for a scheme to provide service of 'subscription based benefit' for compensation in event of death of member of said agency - HELD: Assessee, being a department of state government, services which are provided under MoU are exempted as per Entry at Sl. No. 6 of Notification No. 12/2017-Central Tax (Rate), dated 28-6-2017 as it is providing life insurance services to members of state agency [Section 97 of Central Goods and Services Tax Act, 2017/Kerala State Goods and Services Tax Act, 2017] [Paras 4, 7.3, 7.4 and 7.5] [In favour of assessee] Applicant by: Bushra S. Deepa, AR ORDER Proceedings Advance Ruling No. KER/130/2021 Dtd. 18-02-2022 The Kerala State Insurance Department [KSID] (hereinafter referred to as the applicant) is a Department of the Government of Kerala administering various insurance and other benefit schemes. 2. At the outset, it is clarified that the provisions of the Central Goods and Services Tax Act, 2017 (hereinafter referred to as CGST Act) and the Kerala State Goods and Services Tax Act, 2017 (hereinafter referred to as KSGST Act) are the same except for certain provisions. Accordingly, a reference hereinafter to the provisions of the CGST Act, Rules and the notifications issued thereunder shall include a reference to the corresponding provisions of the KSGST Act, Rules and the notifications issued thereunder. 3. The applicant had requested an advance ruling on the following 3.1 Whether GST is applicable for the services offered on MOU for a scheme to provide 'Subscription-based benefit' for compensation in the event of death to the members of the 'Kudumbasree' which is State Government Agency. SUBSCRIBE FOR FULL CONTENT

The Tax Publishers 2023 TaxPub(GST) 122 (AAR-Ker) : (2023) 109 ITPJ (G) 0696

AUTHORITY FOR ADVANCE RULINGS, KERALA

S.L. SREEPARVATHY & ABRAHAM RENN S., MEMBER

In re Kerala State Government Insurance Department,

Advance Ruling No. KER/130/2021

18 February, 2022

Life insurance service - Government service - Chapter 99 - Pure service - Assessee is a department of state government which is administering various insurance and other benefit schemes of government of Kerala - Assessee introduced a scheme by MoU with Kudumbasree which is a state government agency, to provide 'Subscription based benefit' for compensation in event of death of members of said agency - Subscription from members is collected by Kudambasree and is paid to assessee and benefit is transferred by assessee via Kudambasree - Whether GST is applicable for services offered on MoU for a scheme to provide service of 'subscription based benefit' for compensation in event of death of member of said agency - HELD: Assessee, being a department of state government, services which are provided under MoU are exempted as per Entry at Sl. No. 6 of Notification No. 12/2017-Central Tax (Rate), dated 28-6-2017 as it is providing life insurance services to members of state agency [Section 97 of Central Goods and Services Tax Act, 2017/Kerala State Goods and Services Tax Act, 2017] [Paras 4, 7.3, 7.4 and 7.5] [In favour of assessee]

Applicant by: Bushra S. Deepa, AR

ORDER

Proceedings

Advance Ruling No. KER/130/2021 Dtd. 18-02-2022

The Kerala State Insurance Department [KSID] (hereinafter referred to as the applicant) is a Department of the Government of Kerala administering various insurance and other benefit schemes.

2. At the outset, it is clarified that the provisions of the Central Goods and Services Tax Act, 2017 (hereinafter referred to as CGST Act) and the Kerala State Goods and Services Tax Act, 2017 (hereinafter referred to as KSGST Act) are the same except for certain provisions. Accordingly, a reference hereinafter to the provisions of the CGST Act, Rules and the notifications issued thereunder shall include a reference to the corresponding provisions of the KSGST Act, Rules and the notifications issued thereunder.

3. The applicant had requested an advance ruling on the following

3.1 Whether GST is applicable for the services offered on MOU for a scheme to provide 'Subscription-based benefit' for compensation in the event of death to the members of the 'Kudumbasree' which is State Government Agency.