GST on room rent in Hospitals

When a person is admitted to hospital, a number of services are availed. These services are covered under the definition of supply under GST. This includes accommodation of patients. Since it is a ‘supply’, is it subjected to GST?

As per the latest clarification issued by the CBEC on the tariff for various accommodation services, rent paid by patients for hospital rooms will be exempted from the GST.

This means, when the hospital raises bill on the patient, they will not charge any GST on that component of bill which relates to the rent of the room in which patient stayed.

For eg, a person got admitted in a hospital for a surgery. Patient stayed there for a total of 2 days.

At the end of 2 days, hospital billed him like this –

Cost of surgery – 20,000

Doctor’s charges – 5,000

Lab testing services – 3,000

Room rent – 5,000

Total(without tax) – 33,000

Now in this bill, the hospital will charge GST on each component as per the rates specified.

Suppose Cost of surgery and Doctor’s charges are taxed at 5% and Lab services are taxed at 12%, then the bill will look like this

Thus, this is a welcome move and a great gesture on the part of government. We whole heartedly appreciate this step and hope more such measures will be taken in future to help the common man.

Similar Ripples

Questions

There is no question

GST on room rent in Hospitals

Write your Comment

Would you like to edit this news ? Edit

Select Format

You get opportunity to take 30 day Challenge program.

Optional

Advanced

You get opportunity to take 30 day Challenge program.

Optional

Add tags

You get opportunity to take 30 day Challenge program.

Optional

PUBLISH IT

Don't sell
PUBLISH IT
Publish privately
SAVE AS DRAFT

Dont't publish now

As per the latest clarification issued by the CBEC on the tariff for various accommodation services, rent paid by patients for hospital rooms will be exempted from the GST. This means, when the hospital raises bill on the patient, they will not charge any GST on that component of bill which relates to the rent of the room in which patient stayed. For eg, a person got admitted in a hospital for a surgery. Patient stayed there for a total of 2 days. At the end of 2 days, hospital billed him like this – Cost of surgery&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;– 20,000Doctor’s charges&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;– 5,000Lab testing services&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;– 3,000Room rent&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;– 5,000 Total(without tax)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;– 33,000Now in this bill, the hospital will charge GST on each component as per the rates specified. Suppose Cost of surgery and Doctor’s charges are taxed at 5% and Lab services are taxed at 12%, then the bill will look like this <img id="1" class="image-in" src="/media/logos/16.png"> Thus, this is a welcome move and a great gesture on the part of government. We whole heartedly appreciate this step and hope more such measures will be taken in future to help the common man.&nbsp;

As per the latest clarification issued by the CBEC on the tariff for various accommodation services, rent paid by patients for hospital rooms will be exempted from the GST. This means, when the hospital raises bill on the patient, they will not charge any GST on that component of bill which relates to the rent of the room in which patient stayed. For eg, a person got admitted in a hospital for a surgery. Patient stayed there for a total of 2 days. At the end of 2 days, hospital billed him like this – Cost of surgery                                                  – 20,000Doctor’s charges                                               – 5,000Lab testing services                                          – 3,000Room rent                                                          – 5,000 Total(without tax)                                            – 33,000Now in this bill, the hospital will charge GST on each component as per the rates specified. Suppose Cost of surgery and Doctor’s charges are taxed at 5% and Lab services are taxed at 12%, then the bill will look like this <img id="1" class="image-in" src="/media/logos/16.png"> Thus, this is a welcome move and a great gesture on the part of government. We whole heartedly appreciate this step and hope more such measures will be taken in future to help the common man.

Hi Thakurani,
I want to withdraw in my Thakurani wallet
Thanks,

Select the reason for validity check

I feel great..the news is still good.please give the reason too..thanks..

Why do you think the News as invalid?” Please mention the reason.

I appreciate your effort. May I request you to select one of the reasons from below.
I am marking this post and your reason to Thakurani Moderators. They will take appropriate action.
Thanks,

Write your reason

My Dear ,

Harassing

Spam

Ingenuine

Rotten

Alien

Plagiarism

Unformatted

GST on room rent in Hospitals