Kerala High Court Strikes Down GST Act Provision Which Levied Tax On Supplies By Clubs/Associations To Members

The Kerala High Court struck down a provision of the GST Act that levied tax on supplies by clubs and associations to their members. The court held that the principle of mutuality applies in such transactions, meaning there is no sale or supply between distinct persons, which is a prerequisite for levying GST. This ruling provides significant relief to clubs and associations and their members regarding GST implications on membership fees and related supplies.