Question ID : 33796

GST on Donation

Donations received by NGOs without any condition attached, should not attract GST since NGO does not render any “supply” to the Donar. But there is a view that the above interpretation, is negated by the decision of AAR Maharashtra in the case of Shrimad Raj Chandra Adhyatmik Satsang Sadhana Kendra. Experts view on the above is solicited.

Answer ID : 72946

The AAR in above case covers taxability of commercial activities undertaken by the trust. Donation is not covered under the definition of supply. It is not covered under sale of goods or sale of services. Hence no GST is applicable on donation even after this ruling.

Answer ID : 72950

Above view by professional colleague CA. chunauti dholakia is acceptable.

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