Page 4 - Ch8_ EXEMPTION

01. General Questions on Exemption

CCP 08.01.01.00
State the difference between
i) General & Special Exemption.
ii) Absolute & Conditional Exemption
Answer :

(I) Difference between General & Special Exemption:-
General Exemption Special Exemption
1 It is given by Government in public It is given by Government in public interest
interest by notification in official gazette. by special order.

2 It is applicable to all members of a It is applicable in each case i.e. applicable to
particular section. that person to whom the order is given.
3 It is given generally in public interest. It is given in exceptional nature which is
necessary in public interest.

4 It is covered u/s 11(1) of CGST Act, 2017. It is covered u/s 11(2) of CGST Act, 2017.
(ii) Difference between Absolute & Conditional Exemption:
Absolute Exemption Conditional Exemption

1 Registered person has to mandatorily avail Registered person has option to avail exemption
exemption given without any conditions. on fulfilment of certain conditions.
2 Registered person supplying goods &/or Registered person supplying goods &/or services
services which are exempted absolutely which are exempted conditionally shall collect
shall not collect tax in excess of effective tax at effective rate, if any condition is not

rate fulfilled.

02. Exemptions relating to Health Care:-

CCP 08.02.02.00
Ayushman Medical centre, a clinical establishment, offers the following services:-

S.No. Particular ₹ (Excluding GST)
i) Reiki healing treatment. Such therapy is not recognized system of medicine as per 10,00,000
section 2(h) of Clinical Establishments Act, 2010

ii) Plastic Surgeries [One such surgery was conducted to repair cleft lip of a new born 20,00,000
baby, Consideration of ₹ 1,00,000 was charged for the same]
iii) Air ambulance services to transport critically ill patients from distant location to 1,00,000
Ayushman Medical Centre

iv) Alternative medical treatments by way of Ayurveda. Such therapy is a recognized 2,50,000
system of medicine as per section 2(h) of Clinical Establishment Act, 2010
v) Alternative medical treatments by way of yoga. 5,00,000
vi) Rehabilitation professional therapy service to Mr. Tushar who needed rehabilitation 1,00,000
to learn how to walk again after the car accident.

vii) Services provided by clinical establishments by way of providing room having 66000
charges ₹ 5,500 per day
Ayushman Medical Centre also operates a cord blood bank which provides services in relation to

preservation of stem cells. Ayushman Medical Centre is of the view that since it is a clinical

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