The retrospective tax bogey has surfaced again — and this time it is out to spook the country’s social clubs.

The Narendra Modi government has introduced a clause in the central Goods and Services Tax Act (GST) that in effect overturns a Supreme Court order handed down in October 2019 that had gone in favour of Calcutta Club.

The apex court ruling meant that clubs were not under any obligation to collect tax from their permanent members on the sale of food, refreshments and drinks or other services.

Despite the ruling, sources said, several top clubs in Calcutta levied GST on the sale of food and refreshments to members. Liquor, however, does not come under the GST and is subject to state levies.

The Centre’s decision effectively rips the cloak of immunity from tax that the doctrine of mutuality conferred on the clubs.