2018-TIOL-108-AAR-GST
Aov Agro Food Pvt Ltd
GST - the applicant company is engaged in slaughtering & processing of poultry, sheep & goat meat - The same is supplied for export as well to the domestic market and to the Indian Army against tender - To the Army, the mutton & chicken is supplied in frozen state and is put in unsealed LDPE bags - Two such LDPE bags are put in one HDPE bag on which the weight of both is mentioned - The applicant claims that dispatches made by it in HDPE & LDPE bags both primary & secondary packing did not classify as product put in unit container under Schedule II of the Notfn No 01/IT(R) or under Schedule I of Notfn No 43/2017-IT(R) - Hence the applicant seeks to know if such supplies made by it to the Army are exempt from GST.
Held - the mutton carcass of different weight and size packed in LDPE bags without mentioning the weight & the packing of two such LDPE bags in one HDPE bag mentioning the varying actual total weight of the carcasses packed, shall not qualify as product put up in unit container - Similarly, the chicken packed in LDPE bags & the packing of 20-25 such bags in HDPE bags mentioning the actual weight will also not qualify as product put up in unit container - The two products fall under the exemption list as per Entry No 10 & 13 of Notfn No 2/2017-IT(R) & thereafter as per Entry No 9 of Notfn No 44/2017-IT(R): AAR - Application disposed of : AUTHORITY FOR ADVANCE RULING
2018-TIOL-107-AAR-GST
Gitwako Farms India Pvt Ltd
GST - the applicant company supplies mutton to the Army & Para Military forces - Each frozen carcass is put in LDPE bags which are sealed - One or two such bags are packed in one HDPE bag mentioning the product name, firm's name & net weight are mentioned - Hence the applicant seeks to know the classification of such frozen meat sold in packaged form as well as its HSN code - Also the rate of tax applicable on it.
Held - the frozen animal carcass of different weights & sizes packed in LDPE bags further packed in HDPE bags will not qualify as product put up in unit container - Such products fall under exemption list as per Entry No 10 of Notfn No 2/2017-IT(R) & thereafter as per Entry No 9 of Notfn No 44/2017-IT(R): AAR - Application disposed of : AUTHORITY FOR ADVANCE RULING
2018-TIOL-106-AAR-GST
Action Construction Equipment Ltd
GST - the applicant company maufactures various machines used for construction purposes, such as cranes, Backhoe loaders, forklifts, motor graders, compactors, tower cranes tractors & harvestors - The appicant seeks to know the classification of Truck Mounted Cranes, between chapter heading 8426 or 8705.
Held - the product in question results from mounting or fixing of cranes on readymade trucks or lorries procured from truck/lorry manufacturing companies, such as Ashok Leyland & TATA - Hence it is classifiable under heading 8705: AAR - Application disposed of : AUTHORITY FOR ADVANCE RULING
2018-TIOL-105-AAR-GST
Esprit India Pvt Ltd
GST - the applicant company is the Indian subsidiary of Espirit De Corp Far East Ltd, Hong Kong - The foreign company assists Espirit Germany in sourcing goods such as apparel, shoes, accessories & fabric - The applicant is a sub-contractor providing sourcing services for such goods on to Espirit Germany - In this regard the applicant entered into an agreement with Espirit De Corps Far East Ltd - The applicant seeks to know the taxability of the services provided by the applicant to its associate in Hong Kong - Also whether such services qualify as export of services having zero liability - Also whether the applicant can seek refund of GST for taxes paid on input services & goods.
Held - the various services enumerated in the agreement are taxable supplies attracting 18% GST under different headings - Whether such taxable supplies qualify as export of services & are zero-rated supplies is out of the jurisdiction of the Authority, as is the question as to whether refund of GST can be claimed on taxes paid on input goods & senses: AAR - Application disposed of : AUTHORITY FOR ADVANCE RULING
2018-TIOL-104-AAR-GST
Epcos India Pvt Ltd
GST - the applicant company made investment in manufacturing of batteries for mobile phones - It commenced production of such batteries & supplied the same to domestic cellphone manufacturers - The applicant manufactures two types of batteries, one with is separable from the cellphone & can be re-connected & the other which is inseparable from the cellphone & cannot be removed or re-connected - Hence the applicant seeks to know whether both types of batteries would qualify as "Parts for manufacture of Telephones for cellular networks or for other wireless networks" attracting GST @ 12% being 6% CGST, 6% SGST, 6% IGST- Also whether both would be classifiable under heading 8507 if sold to customers other than manufacturers of cellphones & so attracting GST @ 28% being 14% CGST, 14% SGST & 14% IGST.
Held - both types of batteries would be classifiable as "Parts for manufacture of Telephones for cellular networks or for other wireless networks" attracting 12% GST under Sr No 203 of Schedule II to Notfn No 01/2017-CT(R) & corresponding Schedules in SGST & IGST Notfns - Where both types of batteries are sold to other customers, then products will be classified under heading 8507 & will attract GST @ 28% under Sr No 139 to Schedule IV of Notfn No 1/2017-CT(R) & corresponding SGST & IGST Notfns: AAR - Application disposed of : AUTHORITY FOR ADVANCE RULING
2018-TIOL-103-AAR-GST
BC Examinations And English Services India Pvt Ltd
GST - The applicant company is the Indian subsidiary of the British Council, which is the UK's International Organization for cultural relations and educational opportunities - The BC UK offers services of conducting examinations such as IELTS & ESOL which support proficiency in the English language - The applicant provides the administrative support to the BC UK to help conduct the examination for the candidates in India - Hence the applicant entered into agreement with the BC UK for providing Examination Support service & Student Facilitation Services - Thus the applicant seeks to know whether all the activites involved in the exam support services constitute a mixed supply or a composite supply - The applicant also sought to know the applicabel rate of GST on such exam support service - In this regard, the applicant also sought to know the place of supply of such service provided.
Held - the activity of exam support service constitutes a composite supply - Also, since the principal supply is conducting of IELTS exam, it would be covered under service code 999299 Group 99929 and Heading 9992 as education support service - Hence it would be taxable @ 18%, being 9% CGST & 9% Haryana GST, under Sr No 30 of Notfn No 11/2017-CT(R) dated 28.6.17 and State Notfn No 46/ST-2 dated 30.06.17: AAR - Application disposed of : AUTHORITY FOR ADVANCE RULING
2018-TIOL-102-AAR-GST
Roulunds Braking India Pvt Ltd
GST - The applicant had sought advance ruling for correct clssification of their product, i.e. Brake Pads and Auto Parts, whether to fall under ITC HSN 87083000 attracting 28% GST or ITC HSN 6813 attracting 18% GST.
Held: 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 Customs Tariff Act - In view of the Notfn 1/2017-Central Tax (Rate) and the corresponding State tax Notfn 35/ST-2 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 specified parts of Tractors) attract 28% GST: AAR - Application disposed of : AUTHORITY FOR ADVANCE RULING
2018-TIOL-101-AAR-GST
Paras Motor Industries
GST - The applicant is engaged in business of fabrication and fitting out bus bodies on the chassis supplied by its customers - The customers are mainly roadways corporations of various states - Whether this activity of applicant is a job work or contract of sale of bus body.
Held: The activity of fabrication and fitting and mounting of bus bodies on the chassis supplied by other party is a composite supply with supply of goods, i.e. bus bodies, being principal supply - 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: AAR - Application disposed of : AUTHORITY FOR ADVANCE RULING
2018-TIOL-100-AAR-GST
Loyalty Solutions And Research Pvt Ltd
GST - The applicant under a reward point based loyalty programme, is providing certain services to its clients /partner, such as M/s Nice, which is based on issuance of reward points, also known as payback points by the applicant to end customers - For managing this loyalty programme, applicant is getting Management fee and/ or service charge fee - Whether this amount of issuance fee retained/forfeited by applicant would amount to consideration for actionable claims and subject to GST.
Held: 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 applicant to its clients and thus would be outside the scope of being considered as 'actionale claim' other than lottery, gambling or betting and therefore would qualify as supply of services in terms of Section 7 of CGST Act, 2017/ Haryana Goods and Services Act, 2017 and therefore would be within the scope of levy of GST.
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 is to be treated as "supply" of services and consequently be chargeable to GST under the CGST, HGST or IGST Act: AAR - Application disposed of :
AUTHORITY FOR ADVANCE RULING
