After reports about a GST notice being directed towards IIT-Delhi, the Ministry of Education intervened and initiated discussions with the Ministry of Finance to address the issue. Sources reveal that the following Rs. 120 crore GST notice served to IIT-Delhi concerning research grants received by the institution between 2017 and 2022, the education ministry has approached the finance ministry regarding the matter.
As per a report, the Directorate General of GST has issued a show-cause notice to IIT-Delhi regarding the Rs. 120 crore GST demand alongside penalties and accrued interest. The educational institution has been allotted a 30-day window to provide its response.
Meanwhile, sources said that the Ministry of Education has raised this concern with the finance ministry. As of now, neither the ministry nor the institution has issued an official statement regarding the matter.
In addition to IIT-Delhi, several other educational establishments reportedly received GST notices last week. The report indicates that Anna University in Tamil Nadu has been issued a notice to pay Rs. 5.4 crore GST liability. Furthermore, various private and state-run colleges and universities have also been recipients of similar GST notifications from the authorities.
Before these notices, GST authorities had issued a notice amounting to Rs. 32,403 crore to Infosys for services carried out from its overseas branches for five years starting in 2017.
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In response, Infosys, as disclosed in a stock exchange filing, characterized the notice as a “pre-show cause” notice and conveyed its conviction that GST regulations do not apply to these expenses.
Shame on this BJP Govt. 3rd Class Ministers