Page 114 - GSTL_16 April 2020_Vol 35_Part 3

328 GST LAW TIMES [ Vol. 35
service activities, the M/s. Rotary Club of Mumbai Queens
Necklace is also involved in other activities for their members
which are not related to social cause and are discussed
below :
(a) Rotary club invites eminent personalities for guest
lectures and guidance for the members to enhance
their professional leadership and personal skills.
Through regular meetings and events, the members
of the Club will connect with other leaders towards
changing the world and expand their leadership and
professional skills. There are various articles on pub-
lic domain like “Why Rotary? What Our Members
Receive Brad Howard, RID 2015-1T’ from which it
can be understood that members are benefitted by
these meetings with eminent personalities and their
guidance while at the same time such privileges are
not available to a non-member. It is also said that
‘Rotary Club Membership allows members to sit next
to people with whom he/she may have to pay $ 250
an hour to meet.’ This clearly shows that there is fur-
therance of business involved.
(b) It further appears that in Rotary Global Rewards,
wherein the members get several benefits by the way
of offers and discounts on various products and ser-
vices. Rotary Global Rewards offers discounts on ve-
hicle rentals, hotels, dining, and more. Products and
services from companies around the world are being
added every week.
(c) It also facilitates gathering of professional and ex-
perts locally and globally to enhance their contacts
for furtherance of their business. This activity cannot
be categorized as community service rather it indi-
cates towards furtherance of one’s own cause.
It also appears that Rotary clubs’ charges fees to ad-
mit a person as their member which is not used for
any social cause. The same can be seen from the Bal-
ance sheet submitted by M/s. Rotary Club of Mum-
bai Queens Necklace. There are no funds used for
any social cause. On the contrary, from Tax Invoice
No. 166/180,186/18-19 and 091/18-19 and schedules
of the Balance sheet attached with the application by
M/s. Rotary Club of Mumbai Queens Necklace, it is
observed that M/s. Rotary Club of Mumbai Queens
Necklace had arranged “spouse events” and “spouse
night expenses” which clearly amounts to recreation
activity and hence it falls under tax net.
Hence on going through the above information, it
appears that the Club & Association does not provide
only Social Services as an NGO, but also have other
functions relating to Personal Functions which clear-
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