Passport services, issuing driving licence, office freebies may attract GST

Procurement of goods and services from unregistered supplier to attract GST at buyer's level

Government services such as issuing of passport, birth certificate and driving licence would attract the goods and services tax (GST), according to a revised draft of the Central GST Bill, introduced in Parliament this week.

This is a departure from the draft Bill introduced in November, which had included these services in Schedule IV, a list of exemptions. The latest version specifically states these would qualify as “business”.

“GST appears to be applicable on passport services, issue of birth certificates etc unless exempted at a later stage through an exemption notification,” said Pune-based chartered accountant and GST trainer Pritam Mahure.