Facts of the case:
- The applicant, Devaaya Ayurveda & Nature Cure Centre providing treatment services to patients through Ayurveda, Naturopathy and Yoga.
- It was contended that it provides health services for both international and Indian patients for neuro-muscular problems, post-chemo therapy, post-radio therapy treatment, skin problems, metabolic issues like obesity, life style problems and orthopedic problems like rheumatoid arthritis, osteoarthritis etc.
- Further, it has a team of doctors specialized in naturopathy, yoga and Ayurveda that conduct body composition assessment and records detailed history of the ailment including present medication of the guests. Based on such analysis medications, diet restrictions and daily treatments are planned.
- The applicant wanted to know if it qualifies as a clinical establishment and
- Whether the services provided qualify to be health care services which are exempted under Central Tax (Rate).
Provisions and Interpretation of Law:
- The AAR held that the services provided under supervision of qualified doctors by way of appropriate diagnosis, appropriate medicines as well as relevant consumables or implants as part of treatment in its Center would qualify as clinical establishment and the services offered by it would qualify to be healthcare services.
- Further, the Authority held that various treatments, supply of medicines, consumables and implants used in the course of providing health care services to in-patients for diagnosis or treatment are naturally bundled and are provided in conjunction with each other and
- Therefore, would be considered as ‘Composite Supply”. Hence, it is qualifying for exemption under the category of healthcare services.
- The Authority for Advance Ruling (AAR), Goa has reiterated that the services like Naturopathy, Yoga, Ayurveda fall under health care.
- Also clarified that such ‘health care services’ rendered at clinical establishments by authorized medical professionals would be exempt from GST.