GST on Services of Membership Organisations

By | December 19, 2017
(Last Updated On: December 19, 2017)

GST on Services of Membership Organisations

Here we have analysed GST on Services of Membership Organisations in India

Whether GST is leviable on unincorporated Club or Association ?

As per Section 2(84) of CGST Act 2017person” includes—


(f) an association of persons or a body of individuals, whether incorporated or not, in India or outside India;


As per Section 2(17) of CGST Act 2017businessincludes


(eprovision by a club, association, society, or any such body (for a subscription or any other consideration) of the facilities or benefits to its members;



[See section 7]


7. Supply of Goods

The following shall be treated as supply of goods, namely:—

Supply of goods by any unincorporated association or body of persons to a member thereof for cash, deferred payment or other valuable consideration.

Hence GST will be levied on goods or services supplied by an incorporated / unincorporated  club , associates or association or body of persons to its member .

Is there any GST on Membership of an organizations?

Group 99951 : Services furnished by business, employers and professional organizations Services

999511 : Services furnished by business and employers organisations

999512 : Services furnished by professional organisations

Group 99952 : Services furnished by trade unions

999520 : Services furnished by trade unions

Group 99959 : Services furnished by other membership organisations

999591 :Religious services

999592 :Services furnished by political organizations

999593 :Services furnished by human rights organisations

999594 :Cultural and recreational associations

999595 :Services furnished by environmental advocacy groups

999596 :Services provided by youth associations

999597 :Other civic and social organisations

999598 : Home owners associations

999599 : Services provided by other membership organisations nowhere else classified

What are the GST rates on services by Membership organizations?

GST rates for Services of membership organizations are CGST 9% and SGST 9% / IGST @ 18%

[ As per Sr No 33 of Notification No 11/2017 Central Tax (Rate) Dated 28th June 2017  and Notification No 8/2017 Integrated Tax (Rate) Dated 28th June, 2017

Is there any exemption from GST to services provided by trade unions/ Membership Organisations ?

Yes. There is Exemption from GST to following services :

Service by an unincorporated body or a non-profit entity registered under any law for the time being in force, to its own members by way of reimbursement of charges or share of contribution –

(a) as a trade union;

(b) for the provision of carrying out any activity which is exempt from the levy of Goods and Service Tax; or

(cup to an amount of five thousand rupees per month per member for sourcing of goods or services from a third person for the common use of its members in a housing society or a residential complex.

[ Entry No 77 of Notification No 12/2017 Central Tax (Rate) Dated 28th June 2017 and Notification No 9/2017 Integrated Tax (Rate) Dated 28th June, 2017 ]

Can the Input Tax Credit be taken on Club membership fees ?

As per Section 17(5)(b)(ii) of CGST Act  2017 :-

.. , input tax credit shall not be available in respect of the following, namely:—


(b) the following supply of goods or services or both:—


(iimembership of a club, health and fitness centre



Related Topic on GST 

TopicClick Link
GST ActsCentral GST Act and States GST Acts
GST RulesGST Rules
 GST FormsGST Forms
GST RatesGST Rates
GST NotificationsGST Act Notifications
GST CircularsGST Circulars
 GST JudgmentsGST Judgments
GST Press ReleaseGST Press Release
GST BooksBest Books on GST in India
GST CommentaryTopic wise Commentary on GST Act of India
GST You Tube ChannelTaxHeal You Tube Channel
GST Online CourseJoin GST online Course
GST HistoryGST History and Background Material

Leave a Reply

Your email address will not be published. Required fields are marked *