CGST RULES NOTIFICATION
54/2018
Seeks to make amendments (Twelfth Amendment, 2018) to the CGST Rules, 2017. This notification amends rule 96(10) to allow exporters who have received capital goods under the EPCG scheme to claim refund of the IGST paid on exports and align rule 89(4B) to make it consistent with rule 96(10).
CGST RULES
CGST Rules 2017, as on 09-10-2018
GST AAR CASES
2018-TIOL-203-AAR-GST
Taraltec Solutions Pvt Ltd
GST - Applicant seeks ruling on classification and rate of tax of Reactor used in Hand Pump for water disinfection.
Held: Reactors are classifiable under TSH 8421 21 90 and attracts tax @18% (CGST + SGST): AAR
- Application disposed of
2018-TIOL-202-AAR-GST
Shandong Heavy Industry India Pvt Ltd
GST - Applicant seeks classification of Marine Diesel Engine and entitlement to exemption under notification 1/2017-CTR.
Held: Marine Diesel Engine is classifiable under TSH 8408 and attracts 28% IGST as per Schedule IV, Sr.no. 115 of notification 1/2017-CTR; Gear Box is classifiable under TSH 8483 and attracts 28% IGST as per Schedule IV, Sr.no. 115 of notification 1/2017-CTR; However, Marine Diesel engines and Gear boxes supplied for use as parts in goods falling under heading 8901, 8902, 8904, 8905, 8906 and 8907 will be taxable @5% IGST: AAR
- Application disposed of: AAR
2018-TIOL-201-AAR-GST
Nipro India Corporation Pvt Ltd
GST - Applicant engaged in manufacture of medical equipments such as dialyzers, blood tubing sets, arterial fistulas and syrings and needles - applicant seeking a ruling on the question as to whether they would be entitled to take the Input Tax credit on cost proposed to be incurred in relation to the aforesaid activities.
Held: No ITC is available in respect of M&E related Civil Works, Plumbing works etc., Internal Fire Hydrant system as the goods are used for construction of immovable property which are not used for making any outward supply of goods or services - however ITC is available in respect of Compressed Air Supply system, steam supply system, process chilled water supply system, air conditioning equipments, piping work and accessories for the same, ventilation fans, air distribution system, automatic conrol system, internal sewer and venting system, sanitary ware and CP fittings, sub-station work, DG set power supply system, lighting system except for civil construction work, if any: AAR
- Application disposed of: AAR
2018-TIOL-200-AAR-GST
Membrane Filters India Pvt Ltd
GST - Applicant seeks a ruling on the rate of tax and HSN code when extracting water from tube well, passing it through treatment plant of removing unwanted contaminants like Iron from ground water and eventually lifting it to overhead tank, which scheme runs on solar power.
Held: Work done by applicant is a composite supply classifiable under heading 9954 and which attracts the provisions of notification 11/2017-CTR - Therefore, tax payable is @12% GST in terms of clause (iii), Sr.no. 3 of notification: AAR
- Application disposed of: AAR
2018-TIOL-199-AAR-GST
Jotun India Pvt Ltd
GST - Applicant seeks a ruling as to whether Marine Paints supplied by them would be considered to be a part of a ship and accordingly be classified under Sl. No. 252 of Schedule I of Notification 1/2017-CTR:
Held: Marine Paint is not a component part of Ship - it would be stretching the definition of ‘part' greatly if the Authority intends to treat ‘paints' as part of ship - Contention of the applicant is answered in the negative: AAR
- Application disposed of: AAR
2018-TIOL-198-AAR-GST
Ims Proschoolpvt Ltd
GST - Application seeks a ruling as to whether educational courses offered by them and which have been approved by National Skill Development Corporation (NSDC) would be construed as in relation to National Skill Development Programme (NSDP) implemented by NSDC; whether approved NSDC courses are subsequently upgraded by applicant by adding of more topics would be treated as in relation to the NSDP programme; whether benefit of GST exemption 12/2017-CTR would be available if such educational courses are offered to corporates and business institutions; whether benefit of notification 12/2017-CTR would still be available if the NSDC approved educational courses which are actually imparted by the business partners of the applicant on behalf of the applicant as sub-contractor, at various centres located across the country would be considered as offered by the applicant.
Held: Questions on which ruling sought by the applicant are answered in the negative – NSDP would cover only the actual schemes and programmes of skill development that are undertaken by the Government through its various ministeries, departments, directorates, attached offices and organisations and cannot in any way be construed as including each and every activity under the sun which enhances skills in one way or other – Benefit of notification 12/2017-CTR is not available: AAR
- Application disposed of: AAR
2018-TIOL-197-AAR-GST
Toshniwal Brothers (SR) Pvt Ltd
GST - Applicant is a supplier of services to overseas clients and is engaged in the business of promotion and marketing and after sale support services as a composite supply - they have sought a ruling as to whether pure and mere promotion and marketing services will be 'intermediary services' for the purpose of section 12 of the IGST Act, 2017 for determining the place of supply; if after-sale services are also provided under a composite contract, would it then be composite supply and what will be the principal supply for such contracts; whether the contracts would qualify as exports if the client is overseas entity and will be a zero-rated supply.
Held: Contract of services supplied are not pure and mere promotion and marketing services but in the nature of facilitating the supply of goods and hence would amount to "intermediary services" - after sales services are not in the nature of composite contract and they are independent, hence there is no question of determination of what will be principal supply - as regards whether the contracts would amount to export of service since the same has to be decided on the basis of the 'place of supply', the authority is not competent to decide the same since not covered u/s 97(2) of the CGST Act; the question is not answered and the application is rejected to the said extent in terms of s.98(2) of the Act: AAR
- Application disposed of : AAR
2018-TIOL-196-AAR-GST
Gokul Agro Resources Ltd
GST - Applicant is engaged in the business of Oil Seed Crushing, Refining oil, solvent extraction, fractionation, hydrogenation and packing - they seek ruling as to whether RBD Palm Stearin would fall under Chapter 1511 as 'Palm Oil and its fractions, whether or not refined but not chemically modified' OR under Chapter 3823 11 as 'Industrial Monocarboxylic fatty acid, acid oils from refining, stearic acid, Palm stearin'.
Held: Product Refined Bleached Deodorised Palm Stearin supplied by applicant is classifiable under Heading 1511 in view of the specific Tariff Item created to harmonize Customs Tariff in accordance with WCO classification decision by the Finance Act, 2017: AAR
- Application disposed of : AAR
2018-TIOL-195-AAR-GST
Kandla Port Trust
GST- Applicant set up under the Major Port Trust Act, 1963 submits that it owns substantial amount of land at Gandhidham and Adipur location of Kutch District which has been given on lease to various commercial and other organization for a long time period for which it had entered into lease agreements long ago - applicant revised the rate of lease as per directions of Tariff Authority of Major Port, however, many lease holders have challenged the revised rate taking the plea that the same is against the terms of the lease agreement; that some of the lessees are GOI undertakings and the matter is under litigation at various levels; that applicant is paying GST as per invoices (revised rate) though no payment of lease rent and GST is being made by the lease holders - applicant, therefore, seeks advance ruling on whether applicant shall continue to pay GST on disputed claim and how is it possible for them to claim refund for GST paid out of pocket if the matter is concluded in favour of lease holder.
Held: Issues raised by the applicant do not fall under the category of section 97(2) of the GST Acts - as the issue of 'refund claim' and 'whether the applicant shall continue to pay GST on disputed claims' are not covered by section 97(2) of the Act, this authority is helpless to answer the questions raised in the application as it is lacking jurisdiction - application is, therefore, rejection u/s 98(2) of the Acts without going into the merits of the case: AAR
- Application rejected : AAR
2018-TIOL-194-AAR-GST
Kandla Port Trust
GST - Applicant is providing various services like Pilotage, Berthing, Cargo Handling, Warehousing etc. in relation to import and export of goods at port of Kandla and collects port dues, demurrage, on-board labour charges, wharfage charges, anchorage charges etc. - applicant seeks advance ruling on whether IGST is applicable to port related services provided to out of the state registered dealer or CGST and SGST would apply.
Held: Applicant has filed application for advance ruling wherein provisions of sections 5, 7 and 12 of the IGST Act, 2017 have been referred - Thus, the applicant is well aware that the issue is related to 'place of supply' - As the 'place of supply' is not covered by section 97(2) of the Acts, the authority is helpless to answer the question raised in the application as it is lacking jurisdiction to decide the issues - application is, therefore, rejected u/s 98(2) of the CGST Act, 2017 and GGST Act, 2017 without going into the merits of the case: AAR
- Application rejected : AAR
2018-TIOL-193-AAR-GST
Kandla Port Trust
GST - Applicant has raised the query as to whether it is liable to deduct TDS under section 51 of the CGST Act, 2017 and the GGST Act, 2017.
Held: Issue raised does not fall in the category of Section 97(2) of the Acts, therefore, the Authority is helpless to answer the question raised in the application - Application rejected u/s 98(2) of the CGST Act, 2017 & GGST, 2017: AAR
- Application rejected : AAR
JEST GST by Vijay Kumar
GST Investigations - Dual Duel
ARTICLES
GST Investigations - Dual Duel
Audit under GST - Council needs to 'audit' few Provisions & Decisions
