Page 150 - GSTL_7th May 2020_Vol 36_Part 1

108 GST LAW TIMES [ Vol. 36
(vi) Funds from the State/Central Government, international de-
velopment authorities or agencies and other local bodies,
(vii) Income from publications or audio-visual material or sales of
other such items.”
8. The applicant may further point out that if any surplus arises from
the receipts then the same is ploughed back into the corpus for the purpose of
achievement of the objectives of the applicant.
Registered under Section 12AA as well as under Section 80G of the Income-tax
Act :
9. The applicant may further point out that it is registered as a charita-
ble trust under Section 12AA of the Income-tax Act, 1961 (hereinafter referred to
as “the Income-tax Act”) as well as under Section 80G of the Income-tax Act. In
other words while the entire income of the applicant is exempt from income-tax,
even the donations made to the applicant are admissible deductions for the do-
nors under Section 80G of the Income-tax Act. The Applicant has furnished the
copy of the Certificates issued to the applicant under the Income-tax Act.
Cumulative reading of the facts of the applicant show that the applicant is not
engaged in any business :
10. In the respectful submission of the applicant a cumulative reading
of the aforementioned facts of the applicant show that it is not engaged in any
business or any commercial or trading activities. The applicant is only a charita-
ble trust engaged in training/research relating to disaster prevention, mitigation
and management.
No supply made by the applicant and therefore it is not required to take registra-
tion under the GST Acts :
11. The applicant respectfully submits that a person who is a supplier is
liable for registration as per Section 22(1) of the GST Acts if his aggregate turno-
ver in a financial year exceeds Rs. 20 lakhs. The phrase “aggregate turnover” has
been defined under Section 2(6) of the GST Acts as under :
“2(6) “aggregate turnover” means the aggregate value of all taxable
supplies (excluding the value of inward supplies on which tax is payable by
a person on reverse charge basis), exempt supplies, exports of goods or ser-
vices or both and inter-Stale supplies of persons having the same Perma-
nent Account Number, to be computed on all India basis but excludes cen-
tral tax, State tax, Union territory tax, integrated tax and cess”.
12. Thus the primary requirement for inclusion in “aggregate turnover”
is that the transaction should qualify as “supply” transaction. The term “supply”
has been defined under Section 7(1) of the GST Acts. Relevant extract of the defi-
nition reads as under :
“7. (1) For the purposes of this Act, the expression “supply” includes -
(a) all forms of supply of goods or services or both such as sale,
transfer, barter, exchange, license, rental, lease or disposal made or
agreed to be made for a consideration by a person in the course or
furtherance of business.”
13. One of the essential ingredients for a transaction to qualify as a
supply transaction therefor is that it should be in the course or furtherance of
“business”. The term business has been defined under Section 2(17) of the GST
Acts as under :
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