Lease rent charged by Municipality / Panchayath for land i.e., water channel used for fish farming falls within the meaning of “services relating to rearing of all life forms of animals- by way of renting or leasing of vacant land” eligible for GST exemption as per SI.No.54 of Notification No. 12/2017 - Central Tax (Rate) dated 28.06.2017
Authority for Advance Ruling — GST leviability on Lease rent charged by Municipality / Panchayat for land – The applicant is Local Self Government Institution and is engaged among other activities in leasing of wet land for fish farming. The applicant has allotted some wet land, i.e., water channel on lease. The land is used for fish and crab farming. The Applicant sought an advance ruling as to whether lease rent charged by Municipality/Panchayat for land i.e., water channel used for fish farming falls within the meaning of “services relating to rearing of all life forms of animals - by way of renting or leasing of vacant land” eligible for GST exemption as per Sl.No.54 of Notification No. 12/2017 – CT (Rate) dated 28-06-2017 and corresponding notification under Kerala GST. The authority observed that the services relating to cultivation of plants and rearing of all life forms of animals by way of renting or leasing of vacant land with or without structures is exempted under the entry.
Held that:- The Hon’ble Authority for Advance Ruling ruled in positive.
Lease rent charged by Municipality / Panchayath for land i.e., water channel used for fish farming falls within the meaning of “services relating to rearing of all life forms of animals- by way of renting or leasing of vacant land” eligible for GST exemption as per SI.No.54 of Notification No. 12/2017 - Central Tax (Rate) dated 28.06.2017
Authority for Advance Ruling — GST leviability on Lease rent charged by Municipality / Panchayat for land – The applicant is Local Self Government Institution and is engaged among other activities in leasing of wet land for fish farming. The applicant has allotted some wet land, i.e., water channel on lease. The land is used for fish and crab farming. The Applicant sought an advance ruling as to whether lease rent charged by Municipality/Panchayat for land i.e., water channel used for fish farming falls within the meaning of “services relating to rearing of all life forms of animals - by way of renting or leasing of vacant land” eligible for GST exemption as per Sl.No.54 of Notification No. 12/2017 – CT (Rate) dated 28-06-2017 and corresponding notification under Kerala GST. The authority observed that the services relating to cultivation of plants and rearing of all life forms of animals by way of renting or leasing of vacant land with or without structures is exempted under the entry.
Held that:- The Hon’ble Authority for Advance Ruling ruled in positive.