Authority for Advance Ruling (AAR)

Whether the article ‘Fusible Interlining cloth for cotton fabrics’ manufactured by the applicant falls under Chapter 5903 or under Chapter 52 or 55 of the HSN?

Whether the applicability or determination of liability to pay Tax on our said goods at 5% GST rate is legally correct and in order in terms of Schedule-I of Notification No.1/2017-Integrated Tax(Rate) or not?

Whether the Rajkot Urban Development Authority (Accredited Department of Gujarat State Government) falls under the definition of Government Authority or a Government entity as defined under para 2(zf) & 2(zfa) of the Notification No.12/2017-Central Tax(Rate) dated 28.06.2017 and consequently Pure Service which the applicant is providing to them is exempt from tax or not by virtue of Notification No.12/2017?

Q.1.When landlord charges electricity or incidental charges in additional to rent as per Lease Agreement for immovable property rented to the tenant, is landlord liable to pay GST on electricity or incidental charges charged by it?

Q.2 Can electricity charges paid by landlord to Torrent Power Ltd. (the supplier of electricity) for electricity connection in the name of landlord and recovered based on sub meters from different tenants be considered as amount recovered as pure agent of the tenant when the legal liability to pay electricity bill to Torrent Power Ltd. is that of landlord?

1.Whether Design and Comprehensive Consultancy Services from concept to completion for State-of-Art High rise office building provided to Surat Municipal Corporation covered under Entry No.3 of Notification No.12/2017-Central Tax(Rate) dated 28.06.2017.
2.Whether Consultancy Services for preparation of design and detailed estimation of town hall at Dehgam, provided to Ahmedabad Urban Development Authority covered under Entry No.3 of Notification No.12/2017-Central Tax(Rate) dated 28.06.2017.
3.Whether Medical and Design Consultancy Services for establishment of Medical College, Teaching Hospital and Nursing College at Pune, provided to Pune Municipal Corporation covered under Entry No.3 of Notification No.12/2017-Central Tax(Rate) dated 28.06.2017.
4.Whether work of Preparation of Master Plan of Green Field Areas and Project Management Consultancy Work for Development of Green Field Areas provided to Rajkot Smart City Development ltd. covered under Entry No.3 of Notification No.12/2017-Central Tax(Rate) dated 28.06.2017.
5.Whether Consultancy Services for Architectural and Engineering design/working drawing of Baramati Hospital provided to Executive Engineer, Public Works(East) Division, Pune covered under Entry No.3 of Notification No.12/2017-Central Tax(Rate) dated 28.06.2017.
6.Whether Consultancy service to Gujarat Technological University for Architectural design/engineering design, working drawing, Structural analysis and drawings, electrical drawings and details of all services for phase wise construction of building for proposed project can be covered under Entry No.3 of Notification No.12/2017-Central Tax(Rate) dated 28.06.2017 and Gujarat State Notification No.12/2017-ST(Rate) dated 28.06.2017.

Question: Under which tariff Heading PAPAD of different shapes and sizes manufactured/ supplied by the applicant would attract CGST and SGST? ‘Un-fried Fryums’ 18% (CGST 9% + GGST 9% or IGST 18%)

Q-1Whether there is a supply of service by the applicant  Corporation in recovery of expenses  from DISCOMs as well as UPPTCL and other power companies by way of book entries and hence , liable to GST.

ANS-1 The Application  is liable to pay GST on the  O&m Expenses charged from its  subsidiary companies.

Q-2 Whether inclusion clause in subsection (2) of section 15 of CGST Act, 2017 providing for inclusion of incidental expenses in value of supply apply to applicant’s  case (i.e recovery, by way of book entries, of O&M expenses from DISCOMs as well as UPPTCL and other power companies)when there is no supply of a service by the Corporation to the DISCOMS as well as UPPTCL and other power companies so as to make the stated recoveries from DISCOMS UPPTCL and other power companies liable to GST, if answer to question 1 is negative.

ANS-2 As the supplies have been held as taxable as per  1 above the no2 becomes infructuous.

Q-3 If the answer to (i) or (ii) is in affirmative whether recovery against  certain  expenses such as  interest cost, salary, depreciation etc. which do not attract GST due to either they being exempt or non taxable will also be liable to GST.

Ans- With regard to the specific heads as mentioned in the question no.3 The GST would be chargeable

Q-4 Whether Transfer of miscellaneous incomes of Applicant  Corporation  To DISCOMS UPPTCL and other power companies liable to GST.

Ans- Income shared with the subsidiaries by the Applicant  would also be Chargeable to GST.

Q-1 Under Chapter 85  what is the correct 4 digit HSN  code classification  for solar  power generating system?

Ans-The 4 digit HSN Code of ‘’Solar power Generating System’ is 8541.

Q-2 What constitutes solar power generating system 85. what are the various components and technical requirements That together constitutes solar power generating System under Chapter 85?

Ans- ‘’Solar Panel, Inverter ,Controller and battery are essential  elements of  “solar power generating System” and supply of aforesaid four items  as a whole would cover under the “solar power generating System” But cable & monitoring structures are also supplementary elements of “solar power generating. System”

Whether any tax is payable in respect of sale of Fryums manufactured by the applicant? And if the answer is in the affirmative, the rate of tax thereof?(Rate 18%  (CGST 9% + GGST 9% or IGST 18%)

The product i.e. ‘AAYUDH-MOSX’, is a mosquito repellent and hence, it is classifiable under Chapter Heading No. 3808 91 91 of the Customs Tariff Act, 1985, attracting GST @18% (CGST-9%+ SGST-9%).