माल और सेवा कर परिषद Goods & Se₹vices Tax Council

The applicant is an Auctioneer. It procures the specified goods on approval basis from unregistered and registered persons (Sellers) and sale the same by auction to the highest bidder.

The applicant is engaged in the business of Renting or Leasing Electric Vehicles (EBikes/EVs) without operator both interstate and intra state.

The applicant is planning to Import marine propulsion engine under HSN Code 8407, 8408 & spare parts of marine propulsion engines under HSN Code 8409. These engines & spare parts thereof are to be sold in local markets to fishermen, Government agencies as parts of fishing boat / patrolling boat / relief & rescue boat.

GST applicability on consultancy, training, capacity-building, incubation, mentoring and enterprise-support services provided by IIM Raipur Foundation for Entrepreneurship Development under the CGSRLM Incubation Project. The ruling holds that these services are taxable at 18% GST (9% CGST + 9% CGGST), and exemption under Entry No. 72 of Notification No. 12/2017 is not available. Salary and direct personnel costs are generally outside the scope of GST, while challenge fund grants, soft loans and other enterprise-support funds form part of the taxable value. However, NIL-rated GST may be applicable from the date of recognition as a Technology Business Incubator by NSTEDB, subject to fulfilment of the prescribed conditions.

Q1) Whether the services provided by the Applicant comprising design, construction, establishment, development, operation and maintenance of Solid Waste Processing Plants (Compost+RDF) for Urban Local Bodies under the contract awarded by the Directorate of Local Bodies, Rajasthan constitute 'services by way of solid waste management' provided to a Governmental Authority, and are accordingly exempt from the levy of Goods and Services Tax under Entry 3B of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended)? 

Ans. No. The services provided by the Applicant do not constitute "services by way of solid waste management" provided to a Governmental Authority, and are not exempt under Entry 3B of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended), for the reasons recorded at paragraphs 8 to 15 of the Discussions and Findings above. 

Q2) Whether the amounts received by the Applicant in the nature of Viability Gap Funding (VGF), disbursed by the Directorate of Local Bodies in seven structured instalments against execution milestones and operational performance, is not outside the scope of GST levy under section 7 read with definition of ‘consideration’ under section 2(31), and if not so, whether such amounts are exempt as part of the exempt supply of solid waste management services to a Governmental Authority in terms of Entry 3B of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended)?

 Ans.- The Viability Gap Funding is "consideration" within the meaning of Section 2(31) of the GST Act for the supply made by the Applicant, and is not outside the scope of supply under Section 7. It is not exempt under Entry 3B (or Entry 3A) of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended). GST is payable on the VGF instalments, for the reasons recorded at paragraphs 28 & 29 of the Discussions and Findings above. 

Q3) Whether the Tipping Fees / Service Charges payable by the respective ULBs to the Applicant at the rate of per metric tonne of waste processed during the Operation and Maintenance phase constitute consideration for an exempt supply of solid waste management services to a Governmental Authority in terms of Entry 3B of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended)?

 Ans.- No. The Tipping Fees / Service Charges constitute consideration for a taxable supply and are not exempt under Entry 3B (or Entry 3A) of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended). GST is payable thereon, for the reasons recorded at paragraph 30 of the Discussions and Findings above. 

Q4) Without prejudice to the above, if it is held that the services of the Applicant are not covered under Entry 3B of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended), whether the services provided by the Applicant comprising design, construction, establishment, development, operation and maintenance of Solid Waste Processing Plants (Compost + RDF) for Urban Local Bodies under the contract awarded by the Directorate of Local Bodies, Rajasthan are exempt from the levy of Goods and Services Tax under Entry 3A of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended)?

 Ans.- No. The services of the Applicant are not exempt under Entry 3A of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 (as amended), the Applicant having failed to establish that the value of supply of goods constitutes not more than 25 per cent of the value of the said composite supply, for the reasons recorded at paragraphs 17 to 27 of the Discussions and Findings above.

 Q5) Whether, in the event the services provided by the Applicant are not considered as exempt under Entry 3B or Entry 3A of Notification No. 12/2017-Central Tax (Rate), the services provided by the Applicant will constitute taxable Works Contract Services?

 Ans.- Yes. The services provided by the Applicant constitute a taxable works contract service within the meaning of Section 2(119) read with Paragraph 6(a) of Schedule II to the GST Act, classifiable under Heading 9954 and chargeable to tax under Notification No. 11/2017-Central Tax (Rate) dated 28.06.2017, as amended and as in force at the relevant time, for the reasons recorded at paragraphs 31 of the Discussions and Findings above.

Whether diesel filled free of cost by the service recipient in the engaged chartered (dedicated) vehicles, would form part of value of supply of service charged by the applicant and whether GST would be leviable on value of diesel filled free of cost by the service recipient or otherwise under GTA service?

1. I purchases land to the extent of 0.29 acre. I am entrusted work of installing Electrical Poles, water connections and road to the plot to registered dealer and pay 18% for his Contract Work. 

2. Then I will cut the whole land into 4 to 5 plots (land) and will sell the same to customers. Whether this transaction is come under the preview of GST Act 2017 as a taxable services and goods. If taxable at what rate.

a) Does the maintenance and operations of corpus funds for Sharamiks by KSAMB as a nodal agency on behalf of the Government of Karnataka amount to a “service" under the Goods and Service Tax Act, 2017?

 b) Do the contributions collected from Agricultural Produce Market Committees (APMCs) - which are borne on behalf of farmers, hamalas (market labourers), weighmen, loaders, unloaders, and other stakeholders- attract Goods and Services tax (GST)?

Under which HSN code would the sale of the mentioned blends of biodiesel and high-speed diesel fall? 

B20 (Biodiesel 20% + HSD 80%) 

B30 (Biodiesel 30% + HSD 70%)

B40 (Biodiesel 40% + HSD 60%) 

B50 (Biodiesel 50% + HSD 50%)

B60 (Biodiesel 60% + HSD 40%) 

B70 (Biodiesel 70% + HSD 30%)

Q1) Whether fresh Psyllium Seeds (Isobgul) procured through Agricultural Produce Market Committee (APMC)/KUMS auctions from farmers/cultivators directly or through subsequent traders, without undergoing any drying, freezing, crushing or other processing qualifies for exemption under Entry 87 (HSN 1211) of Notification No.10/2025-Central Tax (Rate) dated 17.09.2025 as "Plants and parts of plants (including seeds and fruits) of a kind used primarily in perfumery, in pharmacy or for insecticidal, fungicidal or similar purpose, fresh or "chilled"? 

Ans.- No, Psyllium Seeds (Isabgol) procured through Agricultural Produce Market Committee (APMC)/KUMS and supplied by the applicant can not be said to qualify as "fresh" Isabgol seeds and are not exempted under Entry 87 (HSN 1211) of Notification No.10/2025-Central Tax (Rate) dated 17.09.2025 as "Plants and parts of plants (including seeds and fruits) of a kind used primarily in perfumery, in pharmacy or for insecticidal, fungicidal or similar purpose, fresh or "chilled." The same are liable to tax @ 5% under Notification No. 09/2025-CT(Rate) dtd. 17.09.2025. 

Q2) If Answer to Question (1) is No, whether Psyllium Seeds (Isobgul) being goods of seed quality and capable of sowing and germination as discussed above qualifies for exemption from GST under Entry 77 (HSN 12) of Notification No.10/2025-Central Tax (Rate) dated 17.09.2025?" 

Ans.- No, in view of answer to Question 1 and as discussed in Para 18 of the 'Discussions and Findings'. 

Q3) If the answers to Questions (1) and (2) are both in the negative, what is the correct classification of, and the rate of tax applicable to, the supply of the said Psyllium Seeds (Isobgul) by the Applicant? 

Ans. - The product "Psyllium seeds" is classified at sub-heading 1211 9013. The rate of tax applicable to the supply of the said Psyllium Seeds (Isobgul) by the Applicant is squarely covered under the ambit of Entry No.71 of the Schedule-I of Notification No.09/2025- Central Tax (Rate) dated 17.09.2025 and GST rate is 5% (2.5% CGST + 2.5% SGST).