The GST Council has recommended that services to the following will be exempt:

  • United Nations or a specified international organisation and
  • Foreign diplomatic mission or consular post in India or for personal use or for the use of the family members of diplomatic agents or career consular officers posted therein.
  • Foreign diplomatic mission or consular post in India Services for official use or for personal use or for the use of the family members of diplomatic agents or career consular officers posted therein.

However, the provisions of the CGST Act under which the exemption is sought to be levied only provides for the claim of refund of taxes charged to any specialised agency of the United Nations Organisation or any Multilateral Financial Institution and Organisation notified under the United Nations (Privileges and Immunises) Act 1947, Consulate or Embassy of foreign countries and any other person as may be specified. Hence, the Government needs to revisit the provisions under which the exemption notification will be issued.