GST on Doctor Consultation

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The Government of India launched the Goods & Services Tax in July 2017. The introduction of GST is the beginning of a new tax regime in India. By shifting to a single taxation rule for all goods and services, the government aims to provide uniformity and determine multiple or compounded tax rate issues. In this article, we will discuss GST on Gold and the Impact of GST on Doctor Consultation in detail.

Before discussing the important factors related to GST on doctor consultation, first, we discuss the concept of GST.

Perceive about GST

GST is considered to be the Goods and Services Tax which is levied on the supply of goods and services. The primary object of this taxation system is to control the cascading effect of other indirect taxes. GST is expected only on value addition at each stage. Although, GST Registration is crucial for registering any businesses.

GST on Doctor Consultation

The tax authorities have determined to stringently bring the doctor under the goods and services tax (GST) ambit, at least the ones who render consultancy services at hospitals. Such services are outside the purview of goods and services tax as a consequence.

Medical services rendered by doctors and hospitals are excluded from GST, the tax department is insisting that when a visiting or consultant doctor advises a patient in a hospital, it’s more like an “intermediary” service as primary service (which is exempt from GST) is rendered by the hospital already.

Significance of GST Registration

Credibility: If you are a registered individual or a business, then there will be natural integrity towards you from consumers and suppliers. It shows that you are someone who can be trusted. Also, it assists in reaching out to suppliers and consumers with confidence and also helps build good business relations.

Advantage Of ITC:  With the option of Input Tax Credit, suppliers claim ITC if they do business with GST registered individuals and companies. It has more likely that a supplier could accept you for doing business compared to someone who is unregistered under GST.

Evade Unnecessary Hurdles: There have some hurdles you may face if you are not registered under GST. The way the Goods and Services Tax regime works is through a chain system. A commodity can be tracked from manufacturing to supplier to wholesaler to retailer, finally the consumer. And in this chain, everyone would want to endure GST compliant to avoid any hurdles.

Legal Strength: If an individual has registered under GST and, if a business or an individual, for some purpose, takes legal action against them. Without the GST registration, you cannot deem a legitimate business, and it could work against you in a court of law.

SAC Code applicable for Doctor Consultation

The following SAC (Service Accounting Code) has established for doctor consultation.

  • 9993 Human health and social care services
  • 99931 Human health services
  • 999312 Medical and dental services

GST on Mask

Moreover, If you want any other guidance related to GST Registration or GST Return Filing, please feel free to talk to our business advisors at 8881-069-069.

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