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GST Applicability on co operative society

26 May 2020

Cooperative society engaged in accepting deposits and lending to its members and also e stamp business. Is registration is to be obtained under GST?

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Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 27 May 2020

In conjoint reading Defination of "person" u/s 2(84) , "Business" u/s 2(17), Consideration u/s 2(31)
co-operative society (being a person as defined above) provides services to its member in the form of facilities or benefits to it member (in course of
business) for a consideration. Hence based on above definition and concept of supply co-operative society
also gets covered under GST.

So when aggregate turnover of a Cooperative Societies in a financial year exceeds twenty 20lac, such Cooperative Societies become liable for Registration under GST as per Sec 22.(1) of CGST Act.

(Can refer Circular No.109/28/2019- GST dated 22.07.2019)