Authority for Advance Ruling (AAR)

Q(1) Whether the subsidized deduction made by the Applicant from the Employees who are availing food in the factory would be considered as a “supply” by the Applicant under the provisions of Section 7 of Central Goods and Service Tax Act, 2017 and Rajasthan Goods and Service Tax Act, 2017. If yes, -Whether GST would be leviable in cases where nominal amount will be deducted from the salary of the employees by the Applicant? -Whether GST would be leviable in cases where nominal amount is recovered from the Manpower supplier in case of contractual employees?

 Ans: Yes 

Q(2) Whether ITC of the GST charged by the Canteen Service Provider would be eligible for availment to the Applicant? 

Answer : Input Tax Credit will not be available to the Applicant on GST charged by the canteen service provider, in terms of provisions of the Notification No. 11/2017-Central Tax (Rate), dated 28-6-2017, as amended vide Notification No. 20/2019-C.T. (Rate), dated 30-09-2019, as discussed in para 7 above.

Q(1) Whether the subsidized deduction made by the Applicant from the Employees who are availing food in the factory would be considered as a “supply” by the Applicant under the provisions of Section 7 of Central Goods and Service Tax Act, 2017 and Rajasthan Goods and Service Tax Act, 2017. If yes, -Whether GST would be leviable in cases where nominal amount will be deducted from the salary of the employees by the Applicant? -Whether GST would be leviable in cases where nominal amount is recovered from the Manpower supplier in case of contractual employees? 

Ans: Yes 

Q(2) Whether ITC of the GST charged by the Canteen Service Provider would be eligible for availment to the Applicant? 

Answer : Input Tax Credit will not be available to the Applicant on GST charged by the canteen service provider, in terms of provisions of the Notification No. 11/2017-Central Tax (Rate), dated 28-06-2017, as amended vide Notification No. 20/2019-C.T. (Rate), dated 30-09-2019, as discussed in para 7 above.

Q(1) Whether the subsidized deduction made by the Applicant from the Employees who are availing food in the factory would be considered as a “supply” by the Applicant under the provisions of Section 7 of Central Goods and Service Tax Act, 2017 and Rajasthan Goods and Service Tax Act, 2017. If yes, -Whether GST would be leviable in cases where nominal amount will be deducted from the salary of the employees by the Applicant? -Whether GST would be leviable in cases where nominal amount is recovered from the Manpower supplier in case of contractual employees?

 Ans: Yes 

Q(2) Whether ITC of the GST charged by the Canteen Service Provider would be eligible for availment to the Applicant?

 Answer : Input Tax Credit will not be available to the Applicant on GST charged by the canteen service provider, in terms of provisions of the Notification No. 11/2017-Central Tax (Rate), dated 28-6-2017, as amended vide Notification No. 20/2019-C.T. (Rate), dated 30-09-2019, as discussed in para 7 above.

Q(1) Whether the subsidized deduction made by the Applicant from the Employees who are availing food in the factory would be considered as a “supply” by the Applicant under the provisions of Section 7 of Central Goods and Service Tax Act, 2017 and Rajasthan Goods and Service Tax Act, 2017. If yes, -Whether GST would be leviable in cases where nominal amount will be deducted from the salary of the employees by the Applicant? -Whether GST would be leviable in cases where nominal amount is recovered from the Manpower supplier in case of contractual employees? 

Ans: Yes 

Q(2) Whether ITC of the GST charged by the Canteen Service Provider would be eligible for availment to the Applicant? 

Answer : Input Tax Credit will not be available to the Applicant on GST charged by the canteen service provider, in terms of provisions of the Notification No. 11/2017-Central Tax (Rate), dated 28-06-2017, as amended vide Notification No. 20/2019-C.T. (Rate), dated 30-09-2019, as discussed in para 7 above.

The Tamil Nadu Nurses and Midwives Council was formed under ‘The Tamil Nadu Nurses and Midwives Act, 1926. It is an act to provide for registration of Nurses, Midwives, Health Visitors, auxiliary Nurse-Midwives and Dhais in the State of Tamil Nadu.The issue mainly related to the taxablity of the various fee collected by them.

The Council imparts medical ethics to the RMP’s and ensure scientific practice by them and issues Provisional, Under Graduate, Post Graduate Registration Certificate, No Objection Certificate and Certificate of Good standing and CME certificates.The issue mainly related to the taxablity of the various fee collected by them.

The applicant states that they are engaged in the field of fabrication and truck body building, wherein independent private customer, buy chassis from Chassis manufacturer (also referred to as OEM's), which is sent to them for the purpose of body building activity of Tipper version Motor vehicle falling under Chapter 87 as complete motor vehicle, which belongs to such customer and the customer owns the chassis and also owns complete body built vehicle and which is also registered in RTO in the name of such independent private customer.

"Q1.Whether the following services provided by the supplier falls under Notification No. 03/2019 CT (rate) dated 29thMarch, 2019. GST Rate on supply of affordable and non-affordable apartments under REP? 

Ans.1- Yes, services provided by the applicant falls under Notification No. 03/2019 CT (rate) dated 29thMarch, 2019. The applicant is liable to pay GST at the rate of 1.5% [0.75% CGST + 0.75% SGST] in respect of the services of construction of affordable residential apartments under Real Estate Project (REP) as per entry at Item (ic) and at the rate of 7.5% [3.75% - CGST + 3.75% - SGST] in respect of the services of construction of residential apartments other than affordable residential apartments under REP as per entry at Item No. (id) of Notification No. 3/2019-Central Tax (Rate), dated 29-3-2019 subject to the conditions prescribed under the respective entries.

 Q2.Supply of Affordable residential apartments and residential apartments under REP conjointly. 

Ans.2- The applicant may supply affordable residential apartments and residential apartments conjointly subject to fulfillment of conditions specified in Notification No.3/2019-CT(R), dated 29-3-2019.

 Q3.GST Rate on supply of Construction of a complex, building civil structure or a part thereof, including, commercial apartments (shops, offices, godowns etc.) by a promoter in a REP other than RREP. 

Ans.3- The applicant is liable to pay GST at the rate of 18% [9% - CGST + 9% - SGST] in respect of the services of construction of complex, building, civil structure or a part including commercial apartments (shops, offices, godowns etc.) as per entry at Item No. (if) of Notification No. 3/2019-Central Tax (Rate), dated 29-3-2019 subject to the conditions prescribed under the said entry.

 Q4.Eligibility of input tax credit which will be used in the course of business or for furtherance of business for Construction of Commercial apartments in a Real Estate Project (REP). 

Ans.4- Reply is negative as per discussed in para F.11 above.

"Q.1 What should be the classification and HSN Code for supply of slaked lime manufactured by the applicant containing less than 98% of the Calcium Oxide and Calcium Hydroxide?

 Ans-1 The classification and HSN for supply of slaked lime manufactured by the applicant containing less than approximately 98% of the calcium oxide/hydroxide is classifiable under CTH 2522 20 00.

 Q2. What shall be the rate of tax on the said product?

 Ans-2 The rate of tax of the subject goods is at 2.5% CGST and 2.5% SGST as per entry Sl. No. 131 of Schedule I of Notification No. 1/2017-C.T. (Rate), dated 28-6-2017 as amended.

A.The Applicant purchases goods from its group companies outside India. On arrival, the goods are warehoused inside the FTWZ Unit on the behalf of the Applicant. The title to the goods stored in FTWZ Unit continues to remain with the Applicant.

 B.As and when the purchase orders are received by the Applicant from customers in India, the Applicant would raise sale invoice on the customer.

 C.The customer would clear the warehoused goods by filing bill of entry for home consumption post assessment of applicable customs duty (i.e., BCD+SWS+IGST) and remove of goods from FTWZ Unit. The issue involved is whether IGST is payable on the sale of goods warehoused in FTWZ premises before clearence for home consumption.