S.No.

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Related Information

Order dt. 28.08.2020

Issue: Whether the product; namely seat adjuster merit classification under Chapter 8708 at Serial No. 170 of Notification No. 1/2017- Central Tax (Rate) dated 28.06.2017 or under Chapter 9401 at Serial No. 435A of Notification No. 1/2017- Central Tax (Rate) dated 28.06.2017 as amended by Notification No. 41/2017- Central Tax (Rate) dated 14.11.2017.

Crux:  The seat adjuster merits classification under Chapter 8708 at Serial No. 170 of Schedule IV of Notification No. 1/2017- Central Tax (Rate) dated 28.06.2017 as amended by Notification No. 41/2017- Central Tax (Rate) dated 14.11.2017. Therefore, the said product is taxable at 14% CGST and 14% HGST.

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Summary

Order dt. 28.08.2020

Issue: 1. Whether the applicant taxpayer is to pay tax @ 6%+6% (after availing land abatement= 4%+4%) availing the input tax & as provided under notification 11 & 17 of 2017 under CGST Act & notification 46 & 74 of 2017 under HGST Act.
2. Whether the applicant taxpayer is to pay tax @ 0.5%+0.5% as provided under notification 3 & 4 of 2019 under CGST Act & notification 45 & 46 of 2019 under HGST Act.

Crux: 1. The project with respect to License dated 10.06.2014 is an ongoing project as the construction was started on the land measuring 5.00 Acre before 31.03.2019. Therefore, the rate of tax applicable in respect of flat over land measuring 5.00 Acre is 12%(With lnput + Land Abatement) in view of the Notification No.20/2017-Central Tax(Rate) dated 22.08.2017 as the applicant submitted an option to pay GST at old effective rate of 8% and 12% with ITC.
2. Whereas the project over land measuring 4.1125 is not an ongoing project as per the Notification No. 03/2019- CT(Rate). Hence, the applicable rate of tax is 0.5%+0.5% (without lnput Tax Credit).

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Order dt. 28.08.2020

Issue: 1.Whether the temporary structure (i.e. hall or pandal or shamiana or any other place) built up with iron/steel pillars tight up with nuts and bolts specially created for functions would be treated as movable or immovable property in pursuance to the GST Law ?
2. Whether credit of the tax paid on iron/steel pillars tight up with nuts and bolt used for the creation of temporary structure (i.e. hall or pandal or shamiana or any other place) especially for functions are admissible under section 16 of the CGST Act, 2017?

Crux: 1. The structure created by the applicant is an immovable property for the purposes of GST Law.
2. The applicant is not entitle to the credit of input tax in view of the provisions of Section 17(5)(d) of the CGST/ HGST Act, 2017.

Order

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Order dt. 09.11.2018

Issue: Whether the freight charges recovered by the applicant under the contract from the customer without issuance of consignment note will be eligible for exemption from CGST as prescribed in serial no. 18 of Notification no. 12/2017 Central Tax Rate, dated 28 June 2017 and corresponding notification under SGST ?

Crux: The applicant is not eligible for exemption from CGST/SGST, as provided in serial no. 18 of Notification no. 12/2017 Central Tax Rates dated 28-06-2017 and the corresponding serial no. 18 of Notification no, 43/ST dated 30-06-2017 issued by Haryana Govt., as GST is applicable on the freight charges in terms of Section 8 of the CGST/SGST Act, 2017.

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Order dt. 17.10.2018

Issue: Whether the residential dwelling unit taken on lease from various individuals/owners for sub leasing the same residential dwelling unit for corporates as well as individuals for residential purposes along with various amenities such as furniture, appliance, cleaning, security, pest control, ac service etc. is exempt supply as per the entry no. 12 of Notification no. 12/2017- central tax (rate) dated 28th June 2017.

Crux: The first lease agreement between the owner and the applicant can be termed as property management services falling under service code 997221, hence not covered in entry 12 of Notification no. 12/2017- Central Tax (rate) dated 28th June 2017. The second lease agreement (Sub-Lease) which is between the applicant and the actual user of the property which is for residential purpose. This agreement qualifies under service code 997211(Rental or leasing services involving own or leased residential property) and falls under the entry 12 of Notification no. 12/2017- Central Tax (rate) dated 28th June 2017.

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Order dt. 28.08.2020

Issue: 1. Whether supply of chassis mounted with bus body, shall be treated as a supply of bus or separate supplies of the following:-
(i) Supply of chassis, taxable at the rate 28% as per the prescribed HSN; and
(ii) Provision of services in respect of activity of mounting/fabricating of bus body on the chassis wherein the said activity of mounting/fabricating is outsourced by the Applicant to the body builder.

2. Whether the supply of chassis and the provision of services in respect of activity of mounting/ fabrication under two separate contracts to the same customer should be treated as supply of bus or as separate supplies of the following:-
(i) Supply of chassis, taxable at the rate 28% as per the prescribed HSN; and
(ii) Provision of services in respect of activity of mounting/fabricating of bus body on the chassis wherein the said activity of mounting/fabricating is outsourced by the Applicant to the body builder.

3. Whether the recovery of the bus body building charges incurred by the applicant on behalf of customer in capacity of an agent, should be covered in the ambit of Schedule I of CGST Act, 2017 and livable to GST. If the answer to the said question is in adverse, whether the recovery of the bus body building charges incurred by the applicant on behalf of the customer in capacity of an agent, will be livable at the rate of 18% as supply of services?

Crux: 1. The supply of chassis mounted with bus body, shall be treated as a supply of bus; classifiable under chapter heading 8702; taxable at the rate 28%.
2. The supply of chassis and the provision of services in respect of activity of mounting/ fabrication under two separate contracts to the same customer bodies, being principal supply (HSN Code 8707); classifiable under chapter heading 8707; taxable at the rate 28%.
3. The recovery of the bus body building charges incurred by the applicant on behalf of customer in capacity of an agent, should be covered in the ambit of Schedule I of CGST Act, 2017 and thus, livable to GST taxable at the rate 28%.

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Order dt. 09.09.2019

Issue: Whether the detachable foot mats used for motor vehicles, manufactured from PVC including TPU/Foam and sold in detachable condition as standalone products are taxable at 12% or 18%?

Crux: The PVC foot mats manufactured and supplied by the applicant fall under Chapter 39, Sub-Heading 3904 10, taxable at 18% (CGST 9%, HGST 9%).

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Order dt. 09.09.2019

Issue: 1. What is the classification of service provided in accordance with Notification no. 11/2017-CT (Rate), dated 28.06.2017 read with annexure attached to it, by the State of Haryana to M/s Quality Earth Minerals Pvt. Ltd., for which royalty is being paid? Whether said service can be classified under 9973 specifically under 997337 as Licensing services for the right to use minerals including its exploration and evaluation or as any other service?

2. What is the rate of GST on given services provided by State of Haryana to M/s Quality Earth Minerals Pvt. Ltd., for which royalty is being paid?

Crux: 1. The services for the right to use minerals including its exploration and evaluation, as per serial no. 257 of the annexure appended to Notification No. 11/2017-CT (Rate), dated 28.06.2017 is included in group 99733 under Heading 9973. The royalty/dead rent paid/payable to the Government by the applicant is consideration against the transfer of right to use minerals including its exploration and evaluation as per the lease granted by the Government to the applicant.

2. The services for the right to use minerals including its exploration and evaluation, as per serial no. 257 of the annexure appended to Notification no. 11/2017-CT (Rate), dated 28.06.2017 is included in group 99733 under heading 9973 and is covered under serial no. 17(viii). Accordingly, as per Notification no. 11/2017-CT (Rate), dated 28.06.2017 as amended vide Notification no. 27/2018 -CT (Rate) dated 31.12.2018 and made effective from 01.01.2019, rate of GST on given services provided by State of Haryana to M/s Quality Earth Minerals Pvt. Ltd., for which royalty is being paid is 18% (9% CGST+9% SGST).

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Order dt. 09.09.2019

Issue: 1. What is the classification of service provided in accordance with Notification No. 11/2017-CT (Rate) dated 28.06.2017 read with annexure attached to it, by the State of Haryana to M/s Sainik Mining And Allied Services Ltd., for which royalty is being paid? Whether said service can be classified under 9973 specifically under 997337 as Licensing services for the right to use minerals including its exploration and evaluation or as any other service?

2. What is the rate of GST on given services provided by State of Haryana to M/s Sainik Mining and Allied Services Ltd. for which royalty is being paid?

Crux:  1. The Licensing services for the right to use minerals including its exploration and evaluation, as per serial no. 257 of the annexure appended to Notification no. 11/2017-CT (Rate) dated 28.06.2017 is included in group 99733 under heading 9973. The royalty/dead rent paid/payable to the Government by the applicant is consideration against the transfer of right to use minerals including its exploration and evaluation as per the lease granted by the Government to the applicant.

2. The services for the right to use minerals including its exploration and evaluation, as per serial no. 257 of the annexure appended to Notification No. 11/2017-CT (Rate) dated 28.06.2017 is included in group 99733 under heading 9973 and is covered under serial no. 17(viii). Accordingly, as per Notification no. 11/2017-CT (Rate) dated 28.06.2017 as amended vide Notification no. 27/2018-CT (Rate) dated 31.12.2018 and made effective from 01.01.2019, rate of GST on given services provided by State of Haryana to M/s Sainik Mining and Allied Services Ltd., for which royalty is being paid is 18% (9% CGST + 9% SGST).

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Order dt. 28.08.2020

Issue: The applicant has sought an advance ruling in respect of the following question:
Whether ITC of GST paid on the goods or services (i.e. supply and installation of sewage treatment plant, supply and installation of fire-fighting system, supply of cable for transmission of electricity, supply of other material for lying of cable and electrical installations and laying of cable and electrical installations for transmission of electricity) is admissible to the applicant.?

Crux:  The ITC of GST paid on the sewage treatment plant; fire fighting system; cable for transmission of electricity from feeding point to the building; other material such as PCC Poles, structural steel, cable end kit, HDPE pipes, GO switch etc. & laying of cable and electrical installations for transmission of electricity is not admissible to the applicant.

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Order dt. 13.02.2019

Issue: Whether the provision of services (Manpower Supply) of tube well operator for operation of tube well and booster of drinking and irrigation water supply in various villages covered under Panchayat are exempt or taxable?

Crux: The provision of services (Manpower Supply) of tube well operator for operation of tube well and booster of drinking and irrigation water supply in various villages covered under Panchayat are exempt being covered under entry at serial no. 3 of CGST Notification no.12/2017-Central Tax (Rate), dated 28th June, 2017,

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Order dt. 09.09.2019

Issue: 1. Whether Input Tax Credit can be availed on such capital goods (demo cars) and set off against output tax payable under GST?
2. Whether Input Tax Credit can be availed on the ancillary input services such as insurance and repair and maintenance availed in respect of the demo cars?

Crux: 1. The GST paid on the purchase of demo vehicles cannot be availed as Input Tax Credit and set off against output tax payable under the GST.
2. No Input Tax Credit can be availed on the ancillary input services such as insurance and repair & maintenance in respect of such vehicles.
As far as the admissibility of Input tax credit prior to coming into effect of Notification No. 2/2019- Central tax dated 29th January, 2019, the Advance ruling Authority is of the view that the same was inadmissible with respect to purchase of Demo vehicles as well as ancillary input services in light of the provisions contained in Section 17(5)(a) and Section 17(2) respectively.

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Order dt. 28.08.2020

Issue: What is the classification and applicable rate of GST for Stadiometer & Infantometer being diagnostic medical equipments?

Crux: It was held that both Stadiometer and Infantometer are medical instrument used exclusively for clinical and medical experimental purposes and are not scale rods or divided scales of general nature. Hence, these are covered under tariff item 9018 90 19 (other category) with rate of tax being 12% (6% each under CGST and HGST Act).

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Order dt. 05.10.2018

Issue: 1. Whether GST will be applicable on the booking/selling of plots to be done by the applicants and land owners during the development (before completion of the development work of the township) of the township? If GST is applicable then what will be the taxable value and applicable tax rate in this case?

2. Whether GST will be applicable on the 20% share of licensed plotted area agreed to be provided by the land owners to the applicant (developer), If GST is applicable then what will be the taxable value and applicable tax rate in this case?

Crux: 1. Booking/selling of plots to be done by the applicant and land owners during the development of the township will remain a transaction of sale/transfer of land and thus will not attract GST. It is immaterial whether the said booking/sale is done before completion or after completion of the development work.

2. Yes, it is consideration for the works contract services rendered by the applicant and therefore, is a service independent of sale of land. The transfer value of the plots will be considered as consideration paid by the land owners for the services rendered by the applicant for development of their share of land being works contract services attract 18% GST (9%CGST+9%HGST).

Order

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Order dt. 05.10.2018

Issue: 1. Whether GST will be applicable on the booking/selling of plots to be done by the applicants and land owners during the development (before completion of the development work of the township) of the township? If GST is applicable then what will be the taxable value and applicable tax rate in this case?

2. Whether GST will be applicable on the 20% share of licensed plotted area agreed to be provided by the land owners to the applicant (developer), If GST is applicable then what will be the taxable value and applicable tax rate in this case?

Crux: 1. Booking/selling of plots to be done by the applicant and land owners during the development of the township will remain a transaction of sale/transfer of land and thus will not attract GST. It is immaterial whether the said booking/sale is done before completion or after completion of the development work.

2. Yes, it is consideration for the works contract services rendered by the applicant and therefore, is a service independent of sale of land. The transfer value of the plots will be considered as consideration paid by the land owners for the services rendered by the applicant for development of their share of land being works contract services attract 18% GST (9%CGST+9%HGST).

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Order dt. 25.10.2018

Issue: Whether this man-made textile non-woven geo bags from polypropylene are classified under heading  6305 having description sacks & bags of textile material for packing goods of Man-made textile materials?

Crux: The sacks and bags (of a kind used for packing of goods), are covered by chapter 63 and the same are liable to GST as under:
5% IGST or 2.5% CGST + 2.5% SGST as per serial no. 224 of schedule I of Notification no.01/2017-Central Tax (Rate) dt.28.06.2017, where the goods are of value not exceeding Rs. 1000/- per piece.
12% IGST or 6% CGST + 6% SGST, as per serial no.171 of schedule II of Notification no.01/2017-Central Tax (Rate) dt.28.06.2017, where the goods are sets of value exceeding Rs, 1000/-per Piece.

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Order dt. 28.08.2020

Issue: Whether the services of applicant i.e. brokerage services/ intermediary services in relation to sale and purchase of agricultural produce are exempt in purview of exemption Notification no.12/2017 (CT Rate) dated 28.06.2017?

Crux: The services of the applicant are not exempt under the purview of exemption Notification no.12/2017 CT (Rate) dated 28.06.2017.

Order

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Order dt. 11.02.2020

Issue: What is the appropriate classification and applicable rate of the Products namely U-Bolt, Screws Bolts and Nuts, Spring Pins and Bushes manufactured and supplied by the applicant?

Crux:  1. The items U-Bolt and Centre Bolt fall under Tariff Heading 7318 15 00 are taxable at the rate of 18%.
2. Spring Pin fall under Tariff Heading 7320 90 20 taxable @ 18%.
3. The item Bush is covered under Tariff Heading 87089900 taxable at 28%.

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Order dt. 08.01.2019

Issue: 1. The applicant is the person responsible to pay GST on the mineral mining rights in lieu of which royalty is being paid, at what GST rate should it discharge its GST liability whether at the rate of 5% (Rate applicable on extracted raw material) or 18% (Residual category)?
2. In case the applicable GST rate is 5%, whether the applicant could adjust its future GST liability, out of excess GST paid on such mineral mining rights at the rate of 18% in the past?

Crux:  1. The services for the right to use minerals including its exploration and evaluation, as per serial no. 257 of the annexure appended to Notification no. 11/2017-Central tax (Rate), dated 28.06.2017 is included in group 99733 under heading 9973. The royalty/dead rent paid/payable to the Government by the applicant is consideration against the transfer of right to use minerals including its exploration and evaluation as per the lease granted by the Government to the applicant. Further, the said services being covered in entry at serial no.17 (viii) of the Notification no. 11/2017-Central tax (Rate), dated 28.06.2017. Being so, the rate of tax applicable on such services, as provided therein, shall be the same rate of tax as applicable on supply of like goods involving transfer of title in goods. The goods involved being classifiable under tariff heading 2516, GST @ 5% (2.5% Central Tax + 2.5% State Tax) is payable on the said goods and likewise on the services involved in question.

2. Not answered as it is not covered in the provisions of section 97(2) of CGST/HGST Act i.e.. the matters in which an advance ruling can be sought.

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Order dt. 25.10.2018

Issue: 1. (A) Whether storage or warehousing mentioned in clause (i) (e) of the explanation in entry at serial no. 24 includes cold storage, deep freeze storage and controlled atmosphere storage also?
(B) In case, services by way of storage or warehousing does not include services by way of cold storage, deep freeze storage or controlled atmosphere storage, will such services in relation to agriculture produce be charged to tax and if yes at what rate and under which classification?
(C) As per the definition of agriculture produce given in clause (vii) of the explanation in note number 4 to the said notification, agriculture produce include produce out of cultivation of plants and rearing of all life forms of animals on which processing is done as is usually done by cultivator or producer which does not alter its essential characteristics but makes it marketable for primary market. Does that imply that when such processing is done, which is usually done by the cultivator, in the processing house or a factory by, person other than cultivator which does not alter its essential characteristics of the produce out of cultivation of plants and rearing of life forms of animals, but makes it marketable for primary market will also be covered by the definition of agriculture produce?
(D) Whether turmeric whole (gattha & fall), turmeric powder, red chili (whole), red chili powder, chili seeds are covered under the definition of Agriculture Produce as defined under Notification no. 11/2017- Central tax (Rate) dated 28.06.2017

2. (A) Whether services by way of pre-conditioning or pre-cooling includes service by way of cold storage, deep freeze storage and controlled atmosphere storage which does not change or alter the essential characteristics of said fruits or vegetables?
(B) In case, services by way of pre-conditioning or pre-cooling does not include services by way of cold storage, deep freeze and controlled atmosphere storage, whether or not such services in relation to fruits or vegetables will be eligible for nil rate of tax under clause (i) (e) of entry at serial no. 24 under the heading 9986 subject to compliance with conditions specified therein as fruits and vegetables are also agriculture produce?
(C) Whether fruits or vegetables for the purpose of this entry means only fresh fruits or vegetables or does it also include dry fruits, cut fruits, frozen fruits, processed fruits and cut vegetables, dried vegetables, processed vegetables in view of the fact that condition of no processing or minimal processing which is usually done by the cultivator to make it marketable is not present in this entry?

3. (A) As heading number 9967 speaks of supporting service in transport, does the service code number 996721 at serial no. 132 relating to refrigerated storage and service code number 996729 at serial no. 134 relating to, other storage and warehousing services would apply when the storage or warehousing happens in the course of or in relation to transportation of goods only or these service codes would also equally apply to refrigerated storage services and other storage and warehousing services per se other than of the agriculture produce which are covered under heading 9986 of section 8 at serial no. 454 of the annexure?
(B) Further, in case service code 997621 relating to refrigerated storage service is only by way of supporting service in transport and not otherwise, then what is the section, heading, group and service codes for cold storage services, deep freeze storage services and controlled atmosphere storage services? it may be stated that section 7 of the annexure of the said notification covers financial and related services; real estate services; and rental and leasing services, section 8 of this annexure covers business and production services and section 9 covers community, social and personal services and other miscellaneous services. Whether the storage and warehousing of goods get covered in section 7 under financial or related service or it will get covered in section 8 under business and production services and the relevant service code thereof or will it be covered in section 9 relating to other miscellaneous services?

Crux: 1.(A) Since, the warehousing services are support services and covered in SAC 99672, it includes cold storage, deep freeze storage and controlled atmosphere storage services also unless an exception is provided in the entry.
(B) Does not require to be answered in view of ruling on A above.
(C) It was held that such processing is done as is usually done by a cultivator or producer. It is immaterial that who does the process as long as the process is such as is usually done by the cultivator or producer which does not after the essential characteristics of the agricultural produce but makes it marketable for primary market.
(D) The term primary market for agricultural produce can be understood to mean the agricultural produce markets where the cultivator or the producer can make first sale of their produce. The agricultural produce on which certain process has been rendered which alters its essential characteristics are generally sold in the secondary markets like stores, kiryana shops etc. Turmeric, red chilly in whole are generally marketed in the primary markets and once converted in powdered form these are sellable in the secondary market.

2.(A) the pre-conditioning or pre-cooling processes are rendered on the agriculture produce at the farm gate before being transported to either the markets or for storage purpose. Therefore, these services of pre­conditioning or pre-cooling processes cannot be regarded as cold storage, deep-freeze or controlled atmosphere storages but the benefit of nil rate on such services shall be available.
(B) Does not require ruling in view of the above ruling to question 2A.
(C) The pre-conditioning or pre-cooling processes etc. are usually done at the farm gate on the fresh harvested fruits and vegetables. The category of the products cited by the applicant are such on which certain processing has already been done. Such already processed produce will not require the pre-conditioning or pre-cooling processes to be done again and therefore, to our mind the entry takes in its scope fresh fruits and vegetable only.

3. It is clarified that the benefit of nil rate is provided to only those support services to, agriculture which are specifically mentioned at Sr. No. 24 of the said notification. It does not cover the services of transport of agriculture produce and therefore the applicable SAC on such services shall be 9967 irrespective of the service being performed in relation to agricultural produce or any other goods,

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Order dt. 25.10.2018

Issue: Whether HEVs supplied by the applicant are leviable to Compensation Cess at the rate of 15% as prescribed under serial no. 48 of Notification no.1/2017-Compensation Cess (Rate) dt.28.06.17 as amended by Notification no.05/2017-Compensation (Cess) Rate dt. 11.09.17?

Crux: The HEVs supplied by the applicant are not covered under serial no.48 of Notification no.1/2017-Compensation Cess (Rate) dt.28.06.17, as amended vide Notification no.05/2017-Compensation (Cess) Rate dt.11.09.17

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Order dt. 19.03.2019

Issue: The supply of electrical energy units through diesel generators is covered under tariff code-27160000-elecrical energy- attracting Nil rate of tax. The applicant wants to confirm as to whether the nil rate of tax selected by it is correct or not?

Crux: The provision of power back-up in a commercial or residential building is in the form of a service not in form a goods. Whatever name it may be assigned- be it utility services, maintenance services or any other service. These services are covered under the Chapter 99, Heading 9972, Group 99722 and HSN Code 997221 (Property management services on a fee or commission basis or on contract basis). As such, the service is liable to CGST @ 9% and SGST @9%.

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Order dt. 12.09.2019

Issue: Whether the pure services supplied to the applicant institute such as manpower supply services, security services, horticulture services, civil maintenance and electrical maintenance services etc. shall be liable to tax under GST or exempt from payment of tax vide entry 3 of Notification no.12/2017- Central Tax (rate) dated 28.06.2017, as amended from time to time?

Crux:  The authority for advance ruling is of the unanimous view that the pure services received by the applicant are not exempt from payment of tax under the CGST/HGST Act, 2017 and are taxable.

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Order dt. 28.08.2020

Issue: (i) Whether the services by way of independent consultancy services provided or to be provided by the applicant to public works department, as per Request for Proposal (REP) for design, engineering, finance, construction, operation and maintenance of Gurgaon- Faridabad and Ballabhgarh-Sohna Roads on BOT basis are activity in relation to function entrusted to Panchayat or Municipality under Article 243G or Article 243W respectively, of the Constitution of India?

(ii) Whether the services by way of independent consultancy services provided or to be provided by the applicant to public works department, as per Request for Proposal (RFP) are Pure Services qualifying for exemption from levy of CGST and SGST, as notified in serial number 3 of Notification no. 12/2017- Central Tax (Rate) dated 28.06.2017 issued under CGST Act, 2017 and corresponding notifications issued under Haryana GST Act, 2017 ?

(iii) If the answer to question no. (ii) above is negative, whether, the applicant is within its rights under the CGST and HGST Acts for charging GST to the service recipient on the service value for the services provided as per RFP ?

Crux:  (i) The services by way of Independent Consultancy Services provided or to be provided by the applicant to public works department as per Request for Proposal (RFP) at for design, engineering, finance, construction, operation and maintenance of Gurgaon- Faridabad and Ballabhgarh- Sohna Roads on BOT basis are not an activity in relation to function entrusted to Panchayat or Municipality under Article 243G or Article 243W respectively, of the Constitution of India.

(ii) The services offered/ provided by the applicant are pure services within the definition of 2(zfp) but are not exempted from levy of tax under CGST/ HGST Act.

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Order dt. 22.11.2018

Issue: Whether applicant can classify and clear Insoluble Sulphur� for export under tariff heading under ITC HS 3812 39 30, ITC HS 3824 90 90, ITC HS 2503 00 10, ITC HS 2503 00 90 and ITC HS 4005 91 90 (Pre-dispersed Insoluble Sulphur) as desired by the customers from Thailand, Mexico, Espania (Spain) and Europe respectively?

Crux: No, the applicant can't classify and clear Insoluble Sulphur for export tariff heading under ITC HS 3812 39 30, ITC HS 3824 90 90, ITC HS 2503 00 10, ITC HS 2503 00 90 and ITC HS 4005 91 90 (Pre-dispersed Insoluble Sulphur as desired by the customers from Thailand, Mexico, Espania (Spain) Europe respectively.

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Order dt. 28.08.2020

Issue: What is the GST rate and HSN Code on non-woven bags made up of polypropylene manufactured by the applicant and the price of which is below Rs. 1000/- per unit?

Crux: The product manufactured and supplied by the applicant i.e. PP non-woven bags are covered under Heading 3923 in the sub-heading 3923 29 90 (other) and taxable at 18% (9% CGST and 9% HGST).

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Order dt. 22.11.2018

Issue: Whether the amount of statutory charges i.e. external development charges and infrastructural development charges, recovered by the applicant from buyers and paid further to respective government authorities will form part of value of taxable supplies being made by the applicant?

Crux: The amount of statutory charges i.e. External Development Charges and Infrastructural Development Charges, recovered by the applicant from buyers and paid further to respective government authorities will form part of value of taxable supplies being made by the applicant.

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Order dt. 28.08.2020

Issue: Whether the supply of water to individual units in the project under the MOU is a separate supply of goods or is composite/mixed supply with that of maintenance services? If such supply is a separate supply of goods, what is the appropriate rate of GST chargeable thereon?

Crux: Maintenance agreement and MOU is directly linked with each other as there is no case of direct supply of water by the applicant to the individual resident of the society. The supply of water to individual units is not different from the supply of water for maintenance services. Therefore, the applicant is required to pay GST as applicable on maintenance agreement.

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Order dt. 28.08.2020

Issue: 1. Whether certain customized lifestyle goods procured by BMW India either from a third party local supplier or imported from outside India for supply of goods during promotion/marketing events organized by the company will qualify as used in the course or furtherance of business in terms of the provisions of the CGST Act, 2017 ?
2. Whether the company is eligible to avail input tax credit for such goods supplied under the marketing events in terms of the CGST Act, 2017?

Crux: 1. The goods procured by BMW India and supplied during promotion/ marketing events qualify as being used in the course of furtherance of business in terms of CGST/ HGST Act, 2017.
2. The company is ineligible to avail Input Tax Credit for such goods supplied in the marketing events owing to the bar of clause (h) of sub-section (5) of section 17.

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Order dt. 22.02.2019

Issue: Whether lien or mortgage charges and stock transfer fees received by the applicant from the service receiver are taxable under section 9 of CGST Act, 2017 or exempt under section 11 of CGST  Act, 2017 with respect to both agricultural and non-agricultural produce stored and warehoused in the warehouses of the applicant?

Crux: The charge/mortgage/lien fee and stock transfer fee with respect to non-agricultural goods stored and warehoused is liable to tax under the CGST/ HGST Act, 2017.

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Order dt. 28.08.2020

Issue: 1.Whether goods used or intended to be used for creation of covered logistics facility space (warehouse) to be rented out for storage purposes be eligible for ITC under the provisions of section 16 and 17 of the CGST Act, 2017?

2.Whether ITC in respect of the inputs in form of goods and services be eligible if the goods and services are consumed and used in construction of covered logistic facility space when the said ITC would be utilized in order to discharge and pay CGST and HGST/ IGST on rent received from tenants of the warehouse?

Crux:  1. The applicant is not eligible to input tax credit in respect of inputs/ capital goods used or intended to be used for creation of covered logistics facility space (warehouse) to be rented out for storage purposes.
2. Since no credit of input tax in respect of input goods or services consumed and used in the construction of covered logistic facility space is available, there arises no possibility of utilization of the same.

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Order dt. 20.11.2018

Issue: 1. Whether the solar powered RCS/ E4 supplied by the applicant qualifies as a solar power based device in terms of sub-clause (b) of entry no. 234 of Notification no-.1/ 2017 Integrated Tax (Rate) dated 28 June 2017 liable to GST @ 5%?
2. What would be the most appropriate 4-digit HSN classification under which solar powered RCS should be classified, for GST purposes.?

Crux:  1. The impugned products, i.e., Robotic Cleaning System (RCS) merits Classification chapter heading 8479 and also qualifies as a solar power based device in terms of sub clause (b) of entry no. 234 of Notification no.1/ 2017 Integrated Tax (Rate) dated 28 June 2017 liable to GST @ 5%.

2. Further, in the instant case, there being two supplies, one of supply of goods, i.e., robotic cleaning systems� and other of erection and commissioning of same. They both are being naturally bundled, with supply of RCS being dominant part and erection commissioning being ancillary part, thus, the rate of tax applicable to this composite supply shall be the rate applicable on the principal supply, i.e. 5%.

Order

Summary

Order dt. 28.08.2020

Issue: Whether input tax credit can be availed by the applicant on pre-engineered structures (PES) which is movable in nature and accounted as Plant and machinery� and not capitalized as an immovable property?

Crux:   It was held that the warehouses constructed/ erected by the applicant are an immovable property for the purposes of GST Law and the applicant is not eligible to ITC in view of the provisions contained in section 17(5)(d).

Order

Summary

Order dt. 27.02.2019

Issue: 1. Whether grant of development rights would attract the Levy of GST?
2. If liable to GST, what shall be Valuation Modus Operandi to tax in GST?

Crux:  1. Yes, the grant of development rights is taxable under the GST Act.
2. The value of supply has to be determined in accordance with Notification no. 11/2017 Central Tax (Rate), dated 28 June, 2017. read

Order

Summary

Order dt. 28.08.2020

Issue: Whether the Serial No. 3 of Notification No. 31/2017-Central Tax (Rate) dated 13th October, 2017 issued under the GST Act, being Composite supply of work contract as defined in clause 119 of Sec-2 of the CGST Act,2017, involving pre dominantly earth work i.e. constituting more than 75% of the value of work in contract provided to Central Government, State Government, Union Territory, Local authority, a government authority or a Government Entity having GST rate of 5% applicable to the applicant.

Crux:  As per Serial No. 3, Heading 9954 of the Notification No. 11/2017-Central Tax (Rate), dated 28.06.2017 under the CGST Act, 2017 and as per Notification No. 31/2017-Central Tax (Rate), dated 13.10.2017 under the CGST Act, 2017 and the corresponding State Tax notification under HGST Act,2017, the work carried by the applicant is a Composite supply of work contract involving pre dominantly earth work provided to a Government Entity and thus attract 5% GST (2.5% CGST + 2.5% HGST). Thus, the Serial No. 3 of Notification No. 31/2017-Central Tax (Rate) dated 13.10.2017 under the CGST Act, 2017 is applicable to the applicant.

Order

Summary

Order dt. 28.08.2020

Issue: 1. Whether parts namely Starter Ring Gear Flywheel Assembly, Starter Ring Gear and Universal join Cross (U.J. Cross) supplied for use in motor vehicle is classifiable under HSN 8708 or 8483?
2. What is the applicable rate of GST i.e. 28% or 18% on parts namely Starter Ring Gear Flywheel Assembly, Starter Ring Gear and Universal joint Cross (U.J. Cross) used in motor vehicles?

Crux:  The articles Starter Ring Gear and Universal joint Cross (U.J. Cross) are classified under heading 8708 and tariff items 8708 99 00 (other), taxable at 28% (CGST 14% and HGST 14%) whereas the article Starter Ring Gear Flywheel Assembly is covered under 8483; taxable at 18% (CGST 9% and HGST 9%).

Order

Summary

Order dt. 28.08.2020

Issue: 1. Whether the activity of procuring PVC material (blank), printing of trade advertisement material on the said PVC material (blank) as per the design and graphics provided by the customer and supply of such printed banners to the shipping location mentioned in purchase order, amounts to supply of goods in terms of CGST Act?
2. What is the classification of such trade advertisement, if supply of such trade advertisement amounts to supply of goods?
3. What is the classification and applicable rate of CGST on the supply of such trade advertisement material if the transaction is that of supply of services?

Crux:  1. The transaction of printing of content provided by the customer, on Poly Vinyl Chloride (PVC) banners and supply of such printed trade advertisement material is a composite supply in which supply of printing service is the principal supply.
2. The HSN classification of such supply of service is 9989 of the scheme of classification of services.
3. The applicable rate of GST on the supply of services is 18% up to 12.10.2017 and 12% effective from 13.10.2017, as per entry no. 27 of the Notification no. 11/2017-Central Tax (Rate) dated 28.06.2017, as amended vide Notification no. 31/2017-Central Tax (Rate) dated 13.10.2017.

Order

Summary

Order dt. 28.08.2020

Issue: (a) Whether company is eligible to take Input Tax Credit on GST charged by vendor for Canteen Service availed by it for its employees?
(b) Whether distribution of Coupons among employees attracts GST Liability? If Yes, then under which SAC tax shall be deducted?
(c) Is it correct to determine the Fair market value of coupons based on the rate charged to employees?
(d) The company purchases edible items like Sweets, Dry fruits and gifts like electronics, gold & silver coins/articles etc. for the purpose of Business Promotion. Whether Company is eligible to take ITC on such business promotion expenses or not?

Crux: (a) The company is not eligible to take input tax credit on GST charged by vendor for canteen services availed by it for its employees.
(b) The distribution of coupons among employees will attract tax liability.
(c) The coupon value shall form part of the total taxable value of the caterer i.e. service provider.
(d) The company is not eligible to take input tax credit on business promotion expenses.

Order

Summary

Order dt. 28.08.2020

Issue: 1. Whether coal rejects to be supplied (disposed of) by way of sale at very nominal price by the power plants of the applicant attracts levy of compensation cess @ Rs. 400/- per MT?
2. Whether coal rejects to be supplied by the power plants of the applicant is covered under HSN 2701 for levy of compensation cess @ Rs. 400/- per MT?
3. Whether coal rejects to be supplied (disposed of) by way of sale at very nominal price by the power plants of the applicant is covered for exemption from compensation cess vide Notification No. 01/2017-compensation cess (Rate) dated 28.06.2017, Sr. No. 41A?
4 Whether coal rejects to be supplied (disposed of) by way of sale at very nominal price by the power plants of the applicant is covered under any other exemption notification for exemption from levy of compensation cess?

Crux: 1. Coal rejects to be disposed of by way of sale at very nominal price by the power plants of the applicant attracts levy of compensation cess @ Rs. 400/- per MT;
2. Coal rejects to be supplied by the power plants of the applicant is covered under HSN 2701 for levy of compensation cess @ Rs. 400/- per MT;
3. Coal rejects to be disposed of by way of sale at very nominal price the power plants of the applicant is not covered for exemption from compensation cess;
4. The applicant is not covered under any other exemption from levy of compensation cess.

Order

Summary

Order dt. 28.08.2020

Issue: Whether laboratory reagent is classifiable under Tariff Heading 38220090 at serial no.80 of Schedule II or as Goods which are not specified in Schedule I, II, IV, V or VI� at serial no. 453 of Schedule Ill under the CGST Notification No.1/2017-Central Tax (Rate), dated 28th June, 2017 (as amended) and Notification no. 35/2017- State Tax 2 dated 30.06.2017 (as amended).

Crux: The laboratory reagents are Goods which are not specified in Schedule I, II, IV, V or VI of Notification No.1/2017-Central Tax (Rate), dated 28th June, 2017 and as such it is covered under Serial No. 453 of Schedule III of Notification No.1/2017-Central Tax (Rate), dated 28th June, 2017 of HGST Act.

Order

Summary

Order dt. 28.08.2020

Issue: 1. Whether catering of food, banquet facilities and combination of both in self owned marriage and party halls by Hotel Jewels (having all rooms below Rs. 7,500/-), is covered in Outdoor Catering taxable @ 5 % as per Notification no. 20/2019 Central Tax (Rate)?

2. Whether Hotel Jewels is eligible to charge 5 % tax as per Notification no. 20/2019 Central Tax (Rate) for providing outdoor catering at Hazuri Bagh (A party lawn & restaurant of M/s Jewel Classic Hotels Pvt. Ltd) ?

3. Whether the additional arrangements (in addition to foods, beverages & renting of premises) such as flower decoration, DJ, Dance Floor, Special cutlery, Electric/electronics items, arranging food/beverages of specific vendors, provided as pure agent will be excluded from value of supply as given in Rule 33 of CGST Rules and thus no tax is required to be charge on them?

4. Further, to arrange these supplies, some supplies are procured from Unregistered Persons having no GST Registration. Whether there is any tax on the supplies arranged from these unregistered people to be paid by the applicant under the Reverse Charge mechanism or any other provisions of the HGST Act/CGST Act?

5. Whether the extra bed forms part of the room tariff and liable to be charged as per various rates prescribed as per slabs given under Notification no. 11/2017-Central Tax (Rate), No. 13/2018-Central Tax (Rate) Dated 26th July 2018 and 20/2019 -Central Tax (Rate) Dated 30th September 2019 ?


Crux: 1. Catering of food, banquet facilities and combination of both (as per requirement of the customer) in self owned marriage and party halls by M/s Hotel Jewels Classic Pvt. Ltd, is not covered in Outdoor Catering taxable @ 5 % as per Notification no. 20/2019 Central Tax (Rate);

2. Hotel Jewels Classic Pvt. Ltd is not eligible to charge 5 % tax as per Notification No. 20/2019 Central Tax (Rate) for providing outdoor catering at Hazuri Bagh;

3. Since, the applicant does not satisfy the condition of being a pure agent hence, the additional arrangements provided by the applicant (in addition to foods, beverages & renting of premises) such as flower decoration, DJ, Dance Floor, Special cutlery, Electric/electronics items, arranging food/beverages of specific vendors, will not be excluded from value of supply; thus, tax is required to be charge on them;

4. Tax on the supplies arranged from the unregistered people is not required to be paid by the applicant under the Reverse Charge mechanism until further notification is issued by the government in this regard which is applicable on the applicant;

5. The value of extra bed forms part of the value of supply and liable to be charged GST accordingly.

Order

Summary

Order dt. 28.08.2020

Issue: 1. Whether the charges in lieu of maintenance services recovered by the HO from the BO shall qualify as supply of service by the HO to BO?
2. Whether the input GST credit w.r.t. procurements referred to in this application needs to be claimed by the applicant under the normal GSTIN of the Company or the Applicant needs to take a separate GSTIN as an input service distributor to distribute the GST credits from HO to BO?

Crux: 1. The activities undertaken by the applicant shall be covered as a supply as per Section (7) of the CGST Act, 2017, thus shall be liable to GST.
2. The input GST credit pertaining to services only on the procurement made by HO towards maintenance of aircraft (including lease thereof) shall be distributed by way of input service distributor mechanism and the credit pertaining to goods (including capital goods) shall be distributed by way of normal registration mechanism.

Order

Summary

Order dt. 28.08.2020

Issue: 1. Whether the reimbursement of expenses and salary paid by Wilhelm Fricke SE, Germany to the liaison office established in India is considered as supply of services as per Section (7) of the CGST Act, 2017 or under Schedule I of CGST Act, 2017, especially when no consideration is charged/ paid.
2. Weather the applicant i.e. the Liaison Office is required to get registered under GST?
3. Whether the applicant i.e. Liaison Office is required to pay CGST/SGST/IGST, as the case may be, on reimbursement received from Head Office?

Crux: (1) The reimbursement of expenses and salary paid by M/s Wilhelm Fricke SE to the liaison office, does not fall under service, as no consideration for any services is being charged by the liaison office. Further, the kind of reimbursement claimed by them from their head office is also falling out of the purview of supply of service and as there are no such taxable supplies made by the Liaison office.
(2) The applicant is not required to get them registered under GST Act.
(3) The applicant is not liable to pay GST on reimbursements received from HO.

Order

Summary

Order dt. 03.03.2020

Issue: (1)Whether interest charged for delay in delivery of goods is taxable under Section 9 of CGST Act, 2017 or HGST Act, 2017 or exempt under Section 11 of CGST Act, 2017 or HGST Act, 2017.
(2) What is the HSN Code of the service mentioned in Para (a)?

Crux:   1. The interest charged for delay in delivery of goods is taxable under GST Act.
2. The said service merits classification under HSN 999794.

Order

Summary

Order dt. 25.06.2020

Issue: (1) Whether applicants activities i.e.. Operation & maintenance of structures/components, Staff Quarters, Pump Chamber, Boundary Wall, Distribution System, Tube wells, Pumping Machinery, OHSR etc under Water Supply Scheme and Operation & maintenance of various sizes of sewer lines, repair of civil structures, supply of consumables etc., qualify to be a composite supply of goods and services and exempt from GST under entry no. 3A of Notification no.12/2017-CT(R), dated 28.06.2017 as amended by Notification no. 2/2018-CT(R), dated 25.01.2018.

2) Whether the service recipient, Public Health Department, State of Haryana, is required to deduct TDS under Section 51 of the CGST Act, 2017 given the fact that as per applicants version his aforementioned services are exempt from GST under Notification No. 12/2017-CT(R), dated 28.06.2017 as amended Notification No. 2/2018-CT(R), dated 25.01.2018.

Crux:  1. As per serial no. 3A Chapter 99 of the Notification no. 12/2017-CT(R), dated 28.06.2017 as amended by Notification no. 2/2018-CT(R), dated 25.01.2018 under the CGST Act, 2017and the corresponding State Tax notification under HGST Act, 2017, The work carried by the applicant is a Composite supply of goods and services in which the value of supply of goods constitutes not more than 25 per cent. of the value of the said composite supply provided to the State Government by way of an activity in relation to the function entrusted to a Panchayat under article 243G of the Constitution or in relation to the function entrusted to a Municipality under article 243W of the Constitution and thus exempt under GST. Thus, the serial no. 3A of Notification no. 12/2017-CT(R), dated 28.06.2017 as amended by Notification no. 2/2018-CT(R), dated 25.01.2018 under the CGST Act, 2017 is applicable to the applicant.

2. As per the Standard Operating Procedure issued by Law Committee of GST Council on 28.09.2018, if the services received by deductor from deductee are exempt, then there is no requirement for tax deduction under GST. Therefore, the service recipient being Public Health Department (Deductor), State of Haryana is not required to detect TDS under section 51 of the CGST Act, 2017 as it is clarified that applicant services are exempt from GST under Notification No. 12/2017-CT(R), dated 28.06.2017 as amended vide Notification No. 2/2018-CT(R), dated 25.01.2018.

Order

Summary

Order dt. 09.09.2019

Issue: (a) Whether the supply of electricity is a supply of goods or services'

(b) Whether the supply of electricity and supply of utilities/leasing are separate supplies or composite supplies'

(c) If supply of electricity and supply of utilities/ leasing are separate supplies, what is the classification of supply of electricity for the purpose of payment of GST'

(d) Whether the applicant is eligible to take credit of input tax charged on such supply of renting services and electricity, if any'

Crux: (a) The supply of electricity, to the extent it is grid supplied, is goods.

(b) The supply of electricity through grid and supply of utilities are separate supplies.

(c) The supply of electricity through grid is classified under Entry No. 104 of Notification No. 2/2017-Central Tax (Rate), dated 28th June, 2017, Tariff Code-2716 00 00.

(d) The applicant is eligible to take input tax credit on supply of renting services. Input tax credit in case of electricity supply shall be restricted to the supply made through DG sets

Order

Summary

Order dt. 25.07.2018

Issue: Whether commission agent, providing services in relation to sale or purchase of agriculture produce, is liable to obtain registration and is liable for tax under reverse charge mechanism on services provided in sale of Raw Cotton".

Crux: The commission agent who is making supplies on behalf of such agriculturist, who is not a taxable person, is not liable for compulsory registration under clause (vii) of section 24 of the CGST/HGST Act, 2017. However, if the aggregate turnover of supply of exempted as well as taxable goods by commission agents (Kachha Arhatia) exceeds the threshold limit, such commission agents shall be liable for registration as per section 22 (1) of CGST/HGST Act, 2017 And the commission agent who becomes liable for registration under section 22 (1) of the Acts, shall also become liable to pay tax on supply of raw cotton by an agriculturist on reverse charge basis being a registered person.

Order

Summary

Order dt. 28.08.2020

Issue:1. Whether the EPC contract for complete design, engineering, manufacture, procurement, testing, Inspection, and complete erection and commissioning of solar power generating system will result into Composite Supply as defined in Section 2(30) of the CGST Act, 2017?
2. In case the supply of SPGS is treated as Composite Supply, whether supply of PV Modules/lnverters or any other supply covered under Chapter Heading 84,85 or 94 of Central Tax Notification will be treated as Principal Supply?
3. In case the principal supply be treated as supply of PV Modules/lnverters or any other supply covered under Chapter Heading 84,85 or 94 of Central Tax Notification, whether the concessional rate of 5% be applicable on the entire of value of the contract i.e. supply of SPGS?

Crux:

Order

Summary

Order upheld by AAAR

Order dt. 26/04/2019

Issue:- 1. Whether the EPC contract for complete design, engineering, manufacture, procurement, testing, Inspection, and complete erection and commissioning of solar power generating system will result into FORM GSTR3BComposite Supply as defined in Section 2(30) of the CGST Act, 2017?
2. In case the supply of SPGS is treated as FORM GSTR3BComposite Supply, whether supply of PV Modules/lnverters or any other supply covered under Chapter Heading 84,85 or 94 of Central Tax Notification will be treated as FORM GSTR3BPrincipal Supply?
3. In case the principal supply be treated as FORM GSTR3Bsupply of PV Modules/lnverters or any other supply covered under Chapter Heading 84,85 or 94 of Central Tax Notification, whether the concessional rate of 5% be applicable on the entire of value of the contract i.e. supply of SPGS?

Crux:-Thus, the order dated 29.08.2018 of the advance ruling authority is quashed and the applicant may approach the advance ruling authority for taking a decision afresh in accordance with law. It is made clear that this authority has not given any opinion on the merits of the case.

Order

Summary

Order dt. 29.06.2018

Issue: a) Whether the applicant is liable to pay tax under CGST/SGST Act, on merger of his proprietorship firm as a going concern with a private limited company on the fixed assets and currents assets including stocks of raw material, semi-finished and finished goods.
b) Whether the input tax credit available in the credit ledger account or cash ledger account of proprietorship firm shall be transferred to the respective credit ledger and cash ledger account of the private limited company, consequent upon merger.

Crux:1. The applicant, on merger of his proprietorship firm as a going concern with a private limited company, is not liable to pay tax under CGST/SGST Act on the fixed assets and currents assets including stocks of raw material, semi-finished and finished goods.
2. The input tax credit available in the credit ledger account proprietorship firm shall be transferred to the respective credit ledger account of the private limited company, consequent upon merger, subject to the provisions of Section 18(3) of the CGST/HGST Act, 2017 and Rule 41 of the CGST/HGST Rules, 2017.
3.The provisions of Section 18(3) of the CGST/HGST Act, 2017 and Rule 41 of the CGST/HGST Act, 2017, are not applicable to the balance in lying in electronic cash ledger.

Order

Summary

Order dt. 18/09/2018

Issue: Whether GST is exempt or is applicable on the Private Entrepreneurs Godowns built under the PEG-2008 scheme of the FCI and leased out to the Nodal Agency (UPSWC) on ‘Lease and services basis’ for the storage of FCI’s food grain stocks (Wheat)

Crux: The services, i.e., leasing of immovable property and support services in relation to agricultural produce, provided by the applicant are in the nature of ‘Mixed Supply’ in terms of section 2 (74) of the Act and hence, attract 9% CGST + 9% HGST (18% IGST) as applicable to SAC 997212.

Order

Summary

Notification No. 12/2017
Central Tax (Rate)

Section 2 of CGST

Order dt. 18/09/2018

Issue: Clarify the HSN Code and the applicable rate of tax under the Goods and Service Tax Act, 2017 on the of WTE plant boilers flue gas cleaning system (FGCS).

Crux: Pollution control device being supplied by the applicant for use in “waste to energy plants/devices” are classifiable under chapter heading 8421 of the first schedule to the Customs Tariff Act, 1975 and are covered by Sr. No. 234 of schedule I of Notification No.01/2017-Central Tax (Rate) dt.28.06.2017 & Notification No.35/ST-2 dt.30.06.2017, chargeable to CGST @2.5% and SGST @ 2.5%.

Order

Summary

Order dt. 30/08/2018

Issue:

(i) Regarding time of receipt of goods so as to understand the time when credit shall be available.

(ii) Regarding the time of supply of goods vis-a-vis raising the tax invoice to actual supply of goods.

Crux:

(i) In case of invoices being raised by supplier in previous month and goods being received in the succeeding month, input tax credit on goods so received shall be available to the applicant, only when applicant has received the goods.

(ii) The liability to pay tax shall arise on the basis of time of supply, which in case of supply of goods is earlier of the following dates-

(a) the date of issue of invoice by the supplier or the last date on which he is required, under sub-section (1) of section 31, to issue the invoice with respect to the supply; or

(b) the date on which the supplier receives the payment with respect to the supply.

Order

Summary

Section 12 of CGST

Section 16 of CGST

Order dt. 14/08/2018

Issue:1: What shall be the classification of service provided by the State of Haryana to M/s United Mining Corporation in accordance with Notification No 11/2017-CT (Rate) dated 28.06.2017 read with annexure attached to it?

2: Whether the said service can be classified under chapter number 9973 specifically under service code 997337 as “Licensing services for the right to use minerals including its exploration and evaluation” or as any other service under the said chapter?

3: What shall be the rate of GST on given services provided by State of Haryana to M/s United Mining Corporation for which royalty is being paid?

Crux:1. The services for the right to use minerals including its exploration and evaluation, as per Sr. No. 257 of the annexure appended to notification no. 11/2017-CT (Rate), dated 28.06.2017 is included in group 99733 under heading 9973. The royalty/dead rent paid/payable to the Government by the applicant is consideration against the transfer of right to use minerals including its exploration and evaluation as per the lease granted by the Government to the applicant.

2. The services for the right to use minerals including its exploration and evaluation, as per Sr. No. 257 of the annexure appended to notification no. 11/2017-CT (Rate), dated 28.06.2017 is included in group 99733 under heading 9973. Hence it attracts the same rate of tax as on supply of the like goods involving transfer of title in goods. As per notification no. 1/2017-CT (Rate), dated 28.06.2017 under the CGST Act, 2017 and the corresponding State Tax notification under HGST Act, 2017, Schedule -I the stone boulders extracted by the applicant attract 5% GST (2.5 % CGST+ 2.5% HGST) as covered under HSN 2516 (At Sr. No. 124 of the notification).

3. As per entry no. 5 of the Notification No 13/2017-CT (Rate), dated 28.06.2017 under the CGST Act, 2017 and the corresponding Notification No. 48/ST-2 Dt. 30.06.2017 under the HGST Act, 2017, the recipient of such services, i.e., the applicant is liable to discharge the tax liability on such services provided to it by the Government on reverse charge basis (RCM).

Order

Summary

Notification No. 01/2017
Central Tax (Rate)

Notification No. 11/2017
Central Tax (Rate)

Notification No. 13/2017
Central Tax (Rate)

Order dt. 11/07/2018

Issue: i. Whether the Applicant is eligible to take input tax credit on:
  a. GST charged by the Contractor for hiring of buses for transportation of employees?
  b. GST charged by the Contractor for hiring of cars for transportation of employees?

ii. Whether the restriction on 'Rent a Cab' service specified in Section 17(5)(b)(iii) is applicable to input tax credit on:-
  a. GST charged by the Contractor for hiring of buses for transportation of employees?
  b. GST charged by the Contractor for hiring of cars for transportation of employees?

Crux: i. The applicant is not eligible to take input tax credit on:
  a. GST charged by the Contractor for hiring of buses for transportation of employees.
  b. GST charged by the Contractor for hiring of cars for transportation of employees.
ii. The restriction on 'Rent a Cab' service specified in Section 17(5)(b)(iii) is applicable to input tax credit on:-
  a. GST charged by the Contractor for hiring of buses for transportation of employees.
  b. GST charged by the Contractor for hiring of cars for transportation of employees.

Order

Summary

Order upheld by AAAR

Order dt. 11/07/2018

Issue:- i. Whether the applicant is eligible to take input tax credit on:
a. GST charged by the contractor for hiring of buses for transportation of employees
b. GST charged by the contractor for hiring of cars for transportation of employees

ii. Whether the restriction on 'Rent a Cab' service specified in Section 17(5) (b) (iii) is applicable to input tax credit on:-
a. GST charged by the contractor for hiring of buses for transportation of employees'
b. GST charged by the contractor for hiring of cars for transportation of employees'

Crux:-The advance ruling passed by the Haryana State Authority for Advance Ruling in respect of M/s YKK India Pvt Ltd.Haryana, is modified.

Order

Summary

M/s Pioneer Partners v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 29/06/2018

Issue:- 1. What is the classification of service provided in accordance with Notification No. 11/2017-CT (Rate) dated 28.06.2017 read with annexure attached to it, by the State of Haryana to the applicant for which royalty is being paid? Whether said service can be classified under 9973 specifically under 997337 as Licensing services for the right to use minerals including its exploration and evaluation or as any other service?

2. What is the rate of GST on given services provided by State of Haryana to M/s Poineer Partners for which royalty is being paid?

3. Whether services provided by State Government of Haryana is governed by applicability of Notification No 13/2017-CT (Rate) dated 28.06.2017 under entry number 5 and whether M/s Poineer Partners is taxable person in this case to discharge GST under reverse charge mechanism or whether given service is covered by exclusion clause number (1) of entry no 5 and State Government of Haryana is liable to discharge GST on same?

Crux:- 1. The services for the right to use minerals including its exploration and evaluation, as per  notification no. 11/2017-CT (Rate), dated 28.06.2017 is included in group 99733 under heading 9973. The royalty/dead rent paid/payable to the Government is consideration against the transfer of right to use minerals including its exploration and evaluation as per the lease granted by the Government to the applicant.

2. The services for the right to use minerals including its exploration and evaluation attracts the same rate of tax as on supply of the like goods involving transfer of title in goods. As per notification no. 1/2017-CT (Rate), dated 28.06.2017 under the CGST Act, 2017 attract 5% GST (2.5 % CGST+ 2.5% HGST) as covered under HSN 2516.

3. As per entry no. 5 of the Notification No 13/2017-CT (Rate) the recipient of such services is liable to discharge the tax liability on such services provided to it by the Government on reverse charge basis.

Order

Summary

Notification No. 11/2017
Central Tax (Rate)

Notification No. 13/2017
Central Tax (Rate)

Order dt. 20/06/2018

Issue: Applicability of Sr. No. 66 Heading 9992 of notification no. 12/2017-Central Tax (Rate) dated 28.06.2017 pertaining to institutions providing Medical and Higher Education.

Crux: The services provided by the applicant, i.e. Man Power services to Hospital – cum – General Medical College and State University do not qualify for exemption under Sr. No. 66 of notification no. 12/2017-Central Tax (Rate) dated 28.06.2017 and corresponding notification No. 47/ST-2 Dt. 30.06.2017 of the State Tax.

Order

Summary

Notification No. 12/2017
Central Tax (Rate)

Order dt. 04.07.2018

Issue: (i) Whether registration is required in case of supply of tax free goods under GST Act?
(ii) Whether assessee is liable to pay tax under RCM u/s 9(3) of CGST Act,2017 for transportation services for transporting tax free goods?
(iii) That if reply to query number (ii) is negative, whether registration is required under GST Act?
(iv) Whether registration is required under GST Act, 2017 for interstate supply/sales of tax free goods?
(v) Whether GST registration can be surrendered if we are not liable to pay RCM us 9(3) of CGST Act 2017 and not liable to be registered under GST Act?

Crux:  (i). Person is engaged in supply of exempted goods or services or both, which are not liable to be taxed, shall not be liable to be registered under the CGST Act, 2017.
(ii). As no exemption is available for transportation services provided by GTA in respect of such goods under Notification mo.12/2017-Central Tax (Rate), dt.28.06.2017 the applicant is liable for payment of tax under RCM u/s 9(3) of the CGST Act, 2017.
(iii) As the answer of second question is not negative, third question is not required to be answered.
(iv) In case the applicant is engaged exclusively in supply of exempted goods and also not receiving any taxable services liable to RCM under GST provisions, registration is not required under the CGST Act, 2017.
(v) In case the applicant availed services of GTA for transportation of goods, they would be liable to pay GST under RCM u/s 9(3) of the CGST Act, 2017, consequently they will be liable to be registered under the CGST Act, 2017.

Order

Summary

M/s BC Examinations and English Services India Pvt. Ltd. v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 01/06/2018

Issue:- 1.  Whether all the activities involved in the exam support services constitute a mixed supply or a composite supply?

2.   What will be rate of GST applicable on these exam support services?

3.  What is the place of supply of these exam support services rendered by the Applicant to BCKU?

Crux:-1. The activity involved in exam support service as proposed at Schedule I Part A and B constitute a Composite supply.

2. Since the principle supply is conducting of IELTS exam it is covered under Service Code 999299 Group 99929 and Heading 9992 as education support service and therefore taxable @ 18% vide sr. no. 30 of notification no. 11/2017 Central Tax (Rate) dated 28.06.2017 and corresponding State notification no. 46/ST-2 Dt. 30.06.2017.

3. Determination of place of supply is beyond the scope of the Authority for Advance Ruling as its rulings were specific to the State only and therefore, the application so far as it sought for determination of place of supply was not admitted.

Order

Summary

M/s Gitwako Farms (India) Pvt. Ltd. v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 01/06/2018

Issue:-  Whether supply of whole (sheep/goat) animal carcass in frozen state in different weight and size packed in LDPE bags without mentioning the weight and further packed in HDPE bags having mention of varying actual total weight of the carcasses packed in each such HDPE bags can be said to be packed in unit container to fall under scope of notification no. 1/2017 or 2/2017 -Integrated tax (rate)?

Crux:- The whole (sheep/goat) animal carcass in frozen state in different weight and size packed in LDPE bags without mentioning the weight and one or two such LDPE bags further packed in HDPE bags having mention of varying actual total weight of the carcasses packed in each such HDPE bags and supplied to Army shall not qualify as product put up in 'Unit Container'.

The product fall under exemption list as per entry no. 10 of notification No. 2/2017-Integrated tax (Rate) dated 28^th June 2017 upto 14^th November 2017 and thereafter as per entry No. 9 of Notification No. 44/2017- Integrated Tax (Rate) dated 14^th November 2017.

Order

Summary

  Notification No. 01/2017 Integrated Tax (Rate)

Notification No. 02/2017 Integrated Tax (Rate)

Notification No. 43/2017 Integrated Tax (Rate)

Notification No. 44/2017 Integrated Tax (Rate) 

AR of Haryana
M/s AOV Agro Food Pvt. Ltd.
(Summary)

M/s Paras Motor Industries v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 26/04/2018

Issue:- 1. Whether the activity of fabrication & fitting and mounting of bus bodies on the chassis supplied by the other party is a job work SAC 9988 or contract of sale of bus body HSN CODE 8707?

2. If it is held to be a job work, what rate of tax is required to be charged and paid ?

Crux:- 1. The activity of fabrication and fitting and mounting of bus bodies on the chassis supplied by the other party is a composite supply with supply of goods, i.e., bus-bodies, being principal supply (HSN code 8707).

2. As the activity has not been held as supply of service, the second rate of tax on supply of service is not required to be spelt out in this ruling.

Order

Summary

 Circular No.34/8/2018-GST

AR of Madhaya Prdesh
Arpijay Fabricators Pvt. Ltd
(Summary)

M/s AOV Agro Food Pvt. Ltd. v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 11/04/2018

Issue:- Whether the whole (sheep/goat) animal carcass and whole chicken in frozen state packed in LDPE bags without seal and mentioning of weight and further packed in HDPE bags can be said to be packed in unit container to fall under the scope of notification no. 1/2017 or 2/2017 -Integrated tax (rate) and further under the scope of notification no. 43/2017 or 44/2017 - Integrated tax (rate)?

Crux:-The whole (sheep/goat) animal carcass and whole chicken in frozen state packed in LDPE bags without seal and mentioning of weight and further packed in HDPE bags shall not qualify as product put up in "Unit Container".

Therefore the products fall under exemption list as per entry no. 10 and 13 of Notification 2/2017- Integrated Tax (Rate) upto 14th November 2017 and thereafter as per entry No. 9 of Notification No. 44/2017- Integrated tax (Rate).

Order

Summary

 Notification No. 01/2017 Integrated Tax (Rate)

Notification No. 02/2017 Integrated Tax (Rate) 

Notification No. 43/2017 Integrated Tax (Rate)

Notification No. 44/2017 Integrated Tax (Rate)

AR of Haryana
M/s Gitwako Farms (India) Pvt. Ltd
(Summary)

M/s Esprit India Private Limited v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 11/04/2018

Issue:-1. Taxability of specified services provided by Esprit India to Its associate concern in Hong Kong EDCFE under GST regime?

2. Whether the specified services provided by Esprit India are covered under Export of Services having Zero rated taxability?

3. Whether Esprit India is eligible for seeking refund of GST for the taxes paid on input services or goods or both?

Crux:-
1. The services provided by Esprit India to its associate concern in Hong Kong EDCFE are taxable supplies.

2. Since the services provided are taxable supplies and question as to whether they qualify as “export of services” and accordingly “zero rated supply”, is out of jurisdiction of this authority.

3. The question whether Esprit India is eligible for seeking refund of GST for the taxes paid on input services or goods is out of jurisdiction of this authority.

Order

Summary

Order upheld by AAAR

Order dt. 22/11/2018

Issue:1. Taxability of specified services provided by Esprit India to Its associate concern in Hong Kong EDCFE under GST regime.

2. Whether the above stated services provided by Esprit India are covered under Export of Services having Zero rated taxability.

3. Whether Esprit India is eligible for seeking refund of GST for the taxes paid on input services or goods or both.

Crux:
1. AAAR upheld the decision of AAR that the services provided by Esprit India to its associate concern in Hong Kong EDCFE are taxable supplies.

2 & 3. Questions asked by the appellant are out of the scope of section 97(2) of CGST/HGST Act, hence rightly declined by the AAR.

Order

Summary

M/s Loyalty Solutions and Research Limited v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 11/04/2018

Issue:- 1. Whether the value of points forfeited of the applicant on which money had been paid by the issuer of points on account of failure of the end customers to redeem the payback points within their validity period would amount to consideration for 'actionable claim' other than lottery, gambling or betting and therefore would not qualify as supply of either goods or services in terms of Section 7 read with schedule III of the Central Goods and Services Act, 2017, and therefore would be outside the scope and levy of GST?

2. Whether the value of points forfeited of the applicant on which money has been paid by the issuer o( points on account of failure of the end customers to redeem the payback points within their validity period can be treated as "supply* of any other goods or services and consequently be chargeable to GST ?

Crux:- 1.  The value of points forfeited of the applicant on which money had been paid by the issuer of points on account of failure of the end customers to redeem the payback points within their validity period would amount to consideration received in lieu of services being provided by LSRPL to its clients and thus would be outside the scope of being considered as 'actionable claim' other than lottery, gambling or betting and therefore would qualify as supply of services in terms of Section 7 of the CGST Act, 2017 and therefore would be within the scope of levy of GST.

2. The value of points forfeited of the applicant on which money has been paid by the issuer of points on account of failure of the end customers to redeem the payback points within then validity period is to be treated as "supply" of services and consequently be chargeable to GST.

Order

Summary

Order upheld by AAAR

Order dt. 23/10/2018

Issue:- Whether the amount of issuance fee retained/forfeited by LSRPL, would amount to consideration for actionable claims and subject to GST?"

Crux:-AAAR uphold the order pronounced by Authority that:
I. The value of points forfeited of the applicant on which money had been paid by the issuer of points on account of failure of the end customers to redeem the payback points within their validity period would amount to consideration received in lieu of services being provided by LSRPL to its clients and thus would be outside the scope of being considered as ‘actionable claim’ other than lottery, gambling or betting and therefore would qualify as supply of services in terms of Section 7 of the Central Goods and Services Act, 2017/ Haryana Goods and Services Act, 2017 and therefore would be within the scope of levy of GST.
II. The value of points forfeited of the applicant on which money h
as been paid by the issuer of points on account of failure of the end customers to redeem the payback points within their validity period is to be treated as “supply” of services and consequently be chargeable to GST under the CGST, HGST or IGST Act, as the case may be.

Order

Summary

 Section 7 of CGST

Section 15 of CGST

M/s Action Construction Equipment Limited v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 10/04/2018

Issue:- Whether Truck Mounted Cranes (TMC) fall under the chapter heading 8426 or 8705?

Crux:- The trucks being purchased/used by the applicant are not works truck but these are trucks/lorries which are basically meant for transport of goods when crane is mounted upon them to make Truck Mounted Crane, the resultant product will be special purpose vehicles, falling under chapter heading 8705.

Order

Summary

M/s Roulunds Braking India Pvt. Ltd v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 26/03/2018

Issue:- Whether Brake Pad and Auto parts fall under ITC HSN 87083000 attracting 28% GST or ITC HSN 6813 attracting 18% GST?

Crux:- The Brake Pads, i.e., friction material mounted on metal plate, manufactured by the applicant for motor vehicles of headings 8701 to 8705 (other than specified parts of tractors) are correctly classifiable under HSN 87083000 of the Custom Tariff Act and as per notification no. 1/2017-CentraI Tax (Rate) as amended from time to time, the brake pads for use as brake assembly and its parts thereof for tractors attract 18% GST and the brake pads manufactured as parts and accessories of motor vehicles of heading 8701 to 8705 (other than tractors) attract 28% GST.

Order

Summary

M/s Epcos India Pvt. Ltd. v/s Sangeeta Karmakar (CGST Member) and Vijay Kumar Singh (SGST Member)

Order dt. 26/03/2018

Issue:- 1. Whether the product 'Battery for mobile handset' whether separable or non separable i.e. whether detachable or non detachable when sold to mobile handset manufacturers who uses the same to make it form part of mobile handset will qualify to be classified under heading 85 attracting GST Rate of 12% as mentioned under Serial No. 203 of Schedule 11 of the Notification No. 1/2017 Central lax (Rate) ?

2. Whether the product "Battery for Mobile Handset' whether it he separable or non- separable i.e.. whether it be detachable or non-detachable, when sold to the customers other than mobile handset manufacturers who does not use the same in manufacture mobile handset, will qualify to be classified under heading 8507 attracting GST Rale of 28% as menlioncd under Serial No. 139 of Schedule IV of Ihe Notification No 1/2017 Central Tax (Rate) ?

Crux:- 1. The product 'Battery for Mobile Handset' whether it be separable or non-separable i.e.. whether it be detachable or non-detachable, when sold to the mobile handset manufacturers who uses the same to make it form part of the mobile handset will, qualify to be classified under heading-85 having description "Parts for manufacture of Telephone for cellular networks or for other wireless networks" attracting GST Rale of 12% as mentioned under Serial No. 203 of Schedule II of the Notification No 1/2017 Central lax (Rate).

2. The product 'Battery lor Mobile Handset', when sold to the customers other than mobile handset manufacturers who does not use the same in manufacture of mobile handset, will qualify to be classified under heading-8507 attracting GST Raw of 28% as mentioned under Serial No. 139 of Schedule IV of the Notification No.1/2017 Central tax (Rate).

Order

Summary