Authority for Advance Ruling (AAR)

Ques-Whether tax would be applicable on the service of transportation of goods by road to be provided by the company under one of its contracts?

Ans- Replied in affirmative.

1.  Whether MJP can be considered as ‘government entity’ under GST law?

2.  Whether the work intended to be carried out by MDE qualifies for exemption as per   notification 12/2017-Central Tax (Rate) dated 28.06.2017?

3.  If it is concluded from the above that the supplies made or proposed to be made by MDE to MJP qualifies for exemption then the consequent question is whether MDE requires to obtain registration under GST law?

1. Can the applicant ask the Labour contractors to not to charge any GST as per the entry no. 10 of the notification No. 12/2017- Central Tax Rate (Rate) dated 28.06.2017?

2. Can the contractors mention on their Labour bill “No. GST being charged as per Entry No. 10 of the Notification No. 12/2017- Central Tax (Rate) dated 28.06.2017” along with their GST Registration number.

3. Is there anything else that needs to be mentioned in the Bill of the Labour Contractors?

What is the (HSN) classification of Crumb rubber/granule? Therefore what is Current duty applicable?

Whether the Godown Rent collected from the CCI is exempted as per the Notification 21/2019 – Central Tax (Rate) Dated 30.09.2019 based on the Circular No.16/16/2017-GST

a.The subject consideration paid by industrial units to GHB is liable to GST.The Subject activity by GHB is Supply of Service.
b.The consideration paid to GHB is not exempt under entry 41 to said Notification.
c.Liability to GST arises from 1-7-2017. Thereby Statutory Interest is payable. This issue has been expounded at paragraph 17 of subject Ruling

1. The Classification of supplies made by TS TRANSCO in terms of HSN and applicable rate of tax;

2. The Classification of supplies procure by TS TRANSCO and eligibility to obtain services at reduced rate of 12% as per entry 3(iv) of Notification 11/2017 CTR dated 28 June 2017;

3. Eligibility of TS TRANSCO to avail input tax credit benefit on works contract services when viewed from the restrictions imposed under sub-section (5) of section 17 of the CGST Act, 2017.

Whether services related to pre-examination, conducting of examination and post -examination provided to Educational Boards, Council and Universities shall be treated as exempted supply.

1. Whether the managerial and leadership services provided by the Registered/Corporate Office to its Group Companies can be considered as "supply of service", in terms of Section 7 of CGAT Act, 2017?

2. Whether the lump sum amount charged by the Registered/Corporate Office on its Group Companies would be liable to GST under Section 8 of CGST Act, 2017?

3. If the aforesaid activities are treated as "supply of service" between distinct and related persons and GST thereon is held to be payable, whether the Applicant can continue to charge certain lump sum amount, as has been done in the past, in terms of second Proviso to Rule 28 of CGST Rules, 2017, as most of the recipients of such services are eligible for full credit, barring one or two related persons, who would comply with the provisions of Section 17 of CGST Act, 2017, at their respective ends?

4. If the aforesaid method of charging certain lump sum amount is not permissible, whether the Applicant can adopt the valuation in terms of the provisions of Rule 31 of CGST Rules, 2017, by arriving at a proportional ratio, based on the total expenses incurred by Registered/ Corporate Office for supplying the aforesaid services and turnover of each of the distinct and related persons?

5. If the aforesaid method of valuation under Rule 31 of CGST Rules is also not permissible, whether the Applicant can adopt valuation in terms of Rule 30 of CGST Rules, 2017, by allocating related expenses at the Registered/Corporate Office in a reasonable proportion to the distinct and related persons considering turnover of each of them and adding ten percent, which would be at par with 110% of cost of provision of such services?

6. If any of the aforesaid method of valuation suggested by the Applicant is not acceptable, what alternative feasible workable method of valuation that can be suggested by the Advance Ruling Authority considering the nature of industry in which the Applicant is engaged in.

7. Whether input tax credit of GST paid by the Applicant is admissible to each of the distinct and related person, in a case where their supply of goods or service or both are taxable under GST law?

1. Whether “Treated Water" obtained from STP (classifiable under Chapter 2201) will be eligible for exemption from GST by virtue of Sl. No. 99 of the Exemption Notification No. 02/2017- Integrated Tax (Rate) dated 28 June 2017 (as amended) as "Water (other than aerated, mineral, purified, distilled, medical, ionic, battery, de-mineralized and water sold in sealed container]"? or

2. Whether "Treated Water" obtained from STP [classifiable under Chapter 2201] is taxable at 18% by virtue of Sl. No. 24 of Schedule - III of Notification No. 01/2017- Integrated Tax (Rate) dated 28th June 2017 (as amended) as "Waters, including natural or artificial mineral waters and aerated waters, not containing added sugar or other sweetening matter nor flavoured (other than Drinking water packed in 20 liters bottles]"?