Govt announces Rs 325 crore GST waiver for free food distribution

The Central government has allocated a sum of Rs 325 crore to reimburse goods and services tax (GST) on specific items bought by charitable religious institutions to distribute free food to the public.

A notification to this effect was issued Thursday by the Union ministry of culture. The financial assistance will be provided under the Seva Bhoj Yojna.

Bal Malkit Singh, convenor of the Maharashtra Sikh Association, said, “We in the Sikh community are particularly pleased since gurdwaras distribute langar meals to lakhs of people each day. Sikh organisations nationwide had made multiple representations to the Centre in this connection.”

The modalities of the scheme are expected to be announced shortly.

However, the former president of a charitable religious institution in Navi Mumbai sounded a note of caution. “Groceries are purchased from the open market where rates vary and shops often provide kuchcha bills. The government must plug the possible loopholes arising from fake vouchers or overbill. The authorities will have to ascertain how many people were fed on a given day or whether the langar or bhandara was actually organised. Unscrupulous organisers may include their household purchases in these bills.”

Read More at: https://timesofindia.indiatimes.com/india/govt-announces-rs-325-crore-gst-waiver-for-free-food-distribution/articleshow/64420303.cms

Scroll to Top