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Circular No. 149/05/2021-GST


CBIC-190354/36/2021-TRU Section-CBEC
Government of India
Ministry of Finance
Department of Revenue
*****
North Block, New Delhi,
Dated the 17
th
June, 2021
To,

The Principal Chief Commissioners/ Chief Commissioners/ Principal
Commissioners/ Commissioner of Central Tax (All) /
The Principal Director Generals/ Director Generals (All)

Madam/Sir,
Sub– Clarification regarding applicability of GST on supply of food in
Anganwadis and Schools -reg.
Representations have been received seeking clarification regarding
applicability of GST on the issues as to whether serving of food in schools under
Mid-Day Meals Scheme would be exempt if such supplies are funded by
government grants and/or corporate donations. The issue was examined by GST
Council in its 43
rd
meeting held on 28
th
May, 2021.
2. Entry 66 clause (b)(ii) of notification No. 12/2017-Central Tax (Rate) dated
28th June, 2017, exempts Services provided to an educational institution, by way of
catering, including any mid-day meals scheme sponsored by the Central Government, State
Government or Union territory. This entry applies to pre-school and schools.
3. Accordingly, as per said entry 66, any catering service provided to an
educational institution is exempt from GST. The entry further mention that such
exempt service includes mid- day meal service as specified in the entry. The scope of
this entry is thus wide enough to cover any serving of any food to a school,
including pre-school. Further, an Anganwadi interalia provides pre-school non-
formal education. Hence, aganwadi is covered by the definition of educational
institution (as pre-school)

Circular No. 149/05/2021-GST


4. Accordingly, as per recommendation of the GST Council, it is clarified that
services provided to an educational institution by way of serving of food ( catering
including mid- day meals) is exempt from levy of GST irrespective of its funding
from government grants or corporate donations [under said entry 66 (b)(ii)].
Educational institutions as defined in the notification include aganwadi. Hence,
serving of food to anganwadi shall also be covered by said exemption, whether
sponsored by government or through donation from corporates.
5. Difficulty if any, in the implementation of this circular may be brought to the
notice of the Board.

Yours faithfully,

(Rajeev Ranjan)
Under Secretary, TRU
Email: rajeev.ranjan-as@gov.in
Tel: 011 2309 5558
circulars no 149 05 2021 gst | iKargos