In the 43rd GST Council Meeting held on 28th May’2021, a clarification was sought regarding the applicability of GST on serving of food in schools under Mid-day meals scheme if such supplies are funded by Government Grants and/or Corporate Donations.
It was clarified the services provided to an educational institution by way of serving of food including mid- day meals is exempt from levy of GST irrespective of its funding from government grants or corporate donations under said entry 66 (b)(ii) of Notification No. 12/2017-CT (R) which exempts Services provided to an educational institution, by way of catering, including any mid-day meals scheme sponsored by the Central Government, State Government or Union territory.
The scope of the entry is wide enough to cover serving of any food to a school, including pre-school. Further, an Anganwadi inter alia provides pre-school non- formal education. Hence, Anganwadi is covered by the definition of educational institution (as pre-school).
Basis the above, it can be concluded that serving of food to an Anganwadi shall be covered by said exemption, whether sponsored by government or through donation from corporates.
