The legal battle being waged by the administrators of three prominent social clubs in the city of Ahmedabad has culminated into Supreme Court directing the Service tax department to refund the GST Collected till 2017.
The clubs were trying to recover the service tax money since 2005. Their contention to refund the GST collected between 2005 and 2017 is approved by the Supreme court after a long-drawn legal battle.
Karnavati, Rajpath, and Sports Club with prominent citizens of Ahmedabad from all walks of life as patrons will receive Rs.100 crores as a refund. GST department has returned the Karnavati Club Rs.25 crores, Rajpath Club Rs. 48 crores, and Sports Club Rs. 10 crores. The clubs in turn will pay back to it’s members before Diwali.
Jagdish Patel, the president of Rajpath Club has said that the club has already started returning money to eligible members. Ketan Patel, the secretary of the Karnavati Club has also expressed happiness that after along legal battle the outcome was in the favour of the clubs.