Page 192 - GSTL_14th May 2020_Vol 36_Part 2

294 GST LAW TIMES [ Vol. 36
Sl. Chapter, Description of Service Rate Con-
No. Section or (per dition
Heading cent.)
(1) (2) (3) (4) (5)
34 Heading 9996 (iii) Services by way of admission to 14 -
(Recreational, entertainment events or access to
cultural and amusement facilities including exhibi-
sporting tion of cinematograph films, theme
services) parks, water parks, joy rides, merry-
go rounds, go-carting, casinos, race-
course, ballet, any sporting event such
as Indian Premier League and the
like.

However, subsequently, the GST Council had recommended reduction of GST
rate on services by way of admission to amusement parks including theme parks,
water parks, joy rides, merry-go-rounds, go-carting and ballet from 28 per cent.
to 18 per cent. Accordingly, department has issued the Notification No. 1/2018-
Central Tax (Rate), dated 25th January, 2018 to amend the above Notification No.
11/2017-Central Tax (Rate), dated 28th June, 2017 to that effect, extract whereof
is reproduced below :

Sl. Chapter, Section Description of Service Rate Con-
No. or Heading (per dition
cent.)
(1) (2) (3) (4) (5)
34 Heading 9996 (iii) Services by way of admission 9 -
(Recreational, to amusement parks including theme
cultural and parks, water parks, joy rides, merry-
sporting services) go rounds, go-carting and ballet.

In view of the above, the rate of CGST on the supply of amusement services in
amusement park like merry-go rounds and other rides being made to visitors
shall be 9% according to Notification No. 11/2017-Central Tax (Rate), dated 28th
June, 2017, as amended (vide Notification No. 1/2018-Central Tax (Rate), dated
25th January, 2018), as mentioned above.
Further, the rate of GGST on the aid services shall be also 9% as per the
corresponding Notification to the Notification No. 11/2017-Central Tax (Rate),
dated 28th June, 2017, as amended by Notification No. 1/2018-Central Tax
(Rate), dated 25th January, 2018, issued under GGST Act, 2017. Thus, currently
the tax rate to be applied to impugned services is 18% GST.
5. In light of the above, we rule as under :
RULING
Question :- What rate of tax is applicable when they are giving access
right to visitor for individual joy rides in their amusement
park?
Answer :- The HSC code (Tariff Group/Heading) for the supply of
amusement services in Amusement Park like merry-go
rounds and other rides shall be 99969/999691. The rate of
tax applicable to the services will be 18% GST.
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GST LAW TIMES  14th May 2020  192