GST on Amusements Parks having rides
The CBIC issued Circular No. 164/20/2021- GST dated 06th October 2021 clarifying on various GST rates & classification issues including GST rates on amusement parks having rides. The Circular reads as below:
- Representations have been received requesting for clarification regarding applicable rate of GST on services provided by Indoor Amusement Parks/ Family Entertainment Centers, and scope of the word ‘amusement park’ under entry 34(iii) of notification no. 11/2017- central tax (rate).
- Entry 34(iii) notification no. 11/2017- central tax (rate),prior to 01.01.2021, prescribed 18% GST on the services by way of admission to amusement parks including theme parks, water parks, joy rides, merry-go rounds, go-carting and ballet. On the other hand, Entry No. 34(iiia) in notification no. 11/2017- central tax (rate) dated 28.06.2017 prescribed GST rate of 28% on the services by way of admission to entertainment events or access to amusement facilities including casinos, race club, any sporting event such as Indian Premier League and the like.
- On the recommendations of the Council, it is clarified that 28% rate [entry 34(iiia)] applies on admission to a place having casino or race club [even if it provides certain other activities] or admission to a sporting event like IPL. On the other hand, Entry 34(iii), having a rate of 18%, covers all other cases of admission to amusement parks, or theme park etc. or any place having joy rides, merry-go rounds, go-carting etc., whether indoor or outdoor, so long as no access is provided to a casino or race club. This clarification will also apply to Entries 34(iii) and 34(iiia) as they existed prior to their amendment w.e.f. 01-10-2021.
- The entries in question have been suitably amended vide notification no. 06/2021- central tax (rate) dated 30.09.2021 to make them clearer.
Source: Circular No. 164/20/2021-GST
