GST application makes AIIMS Delhi Private wards costlier

New Delhi: Seeking treatment in the private ward has become costlier as the premier health institution, All India Institute of Medical Sciences (AIIMS), New Delhi has announced a hike in the charges of its private ward rooms.

The move comes following the recent decision by the GST Council to levy a 5 per cent tax on hospital room rent exceeding Rs 5,000 per day. The revised charge will be effective from July 18 as per government notification.

Medical Dialogues team had earlier reported that for the first time in the country, healthcare services have been brought under the GST net as the council has decided to impose 5 per cent GST without input tax credit on hospital rooms above Rs 5000 per day excluding ICUs.

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The decision was taken at the 47th GST Council meeting held on 28th and 29th June in Chandigarh, chaired by Union Finance Minister Nirmala Sitharaman.

As per the notification issued by AIIMS, the charges for A class (deluxe room) at AIIMS will now be Rs 6300 per day. Patients have to pay 10 days advance deposit of Rs 66,000, including 5 per cent GST and diet charges.

An official communication from AIIMS Financial Advisor, Narinder Bhatia, to the Medical Superintendent, HoDs and other key officials reads: "The undersigned is directed to notify the following hospital charges for room rent for private ward hospitalised patients with effect from 18th July 2022, as per notification of Government of India levying GST @5 per cent on the room rent (except ICU) exceeding Rs 5,000 per day per patient charged by a hospital."

"Room rent: Rs 6,000 + GST 5 per cent, Rs 63,00/- per day for A- class or Deluxe rooms," he said in the letter. 

The All India Institute of Medical Sciences (AIIMS) had earlier announced a hike in the room rent and diet charge for private wards and the abolition of user charges for all investigations and laboratory charges,

The charges for its A-category room in private wards had doubled from Rs 3,000 to Rs 6,000 per day, whereas B-category rooms from Rs 2,000 per day to Rs 3,000 that was effective from June 1.

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