The Supreme Court Bar Association has asked Finance Minister Nirmala Sitharaman to remove 18% GST on its planned group insurance scheme. SCBA says the tax burden discourages advocates from accessing affordable health and accident cover.
New Delhi: The Supreme Court Bar Association (SCBA) has written to Union Finance Minister Nirmala Sitharaman, asking for exemption from Goods and Services Tax (GST) on group insurance premiums for its members.
In its letter, SCBA president Vikas Singh said,
“We are in preparation to start a group insurance scheme exclusively for SCBA members to provide affordable health and accident coverage.”
The Bar body explained that this scheme will be a non-profit effort, created only to promote risk pooling and financial protection for lawyers.
According to the letter, the initiative is in line with the government’s aim of inclusive growth and social welfare.
It stated,
“However, the imposition of Goods and Services Tax (GST) at 18 per cent on group insurance premiums, as per the current framework under the Central Goods and Services Tax Act, 2017, significantly increases the cost of participation. This tax burden effectively penalizes collective welfare efforts, discouraging advocates operating under financial constraints from accessing critical insurance coverage.”
SCBA also urged the government to grant a clear exemption from GST on the premiums paid for such group insurance schemes, whether they are introduced by SCBA or other court-related bar associations.
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The letter emphasized,
“Such an exemption would reduce the financial strain on our members, encourage greater participation in welfare schemes, and reinforce the government’s commitment to supporting key contributors to the justice system.”
This request highlights the increasing demand for affordable health and accident insurance coverage for advocates, many of whom face financial difficulties.
By seeking relief from GST, the SCBA wants to make sure that legal professionals can access welfare benefits without being burdened by extra taxes.
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