M/s. Stovec Industries Ltd.

In view thereof, we confirm the Advance Ruling No. GUJ/GAAR/R/70/2020 dated 17.09.2020 of the Gujarat Authority for Advance Ruling in respect of Ruling No. 1 and 4 and reject the appeal filed by the appellant M/s. Stovec Industries Ltd. to that extent as discussed above in respect of said Ruling. We modify the Advance Ruling No. GUJ/GAAR/R/70/2020 dated 17.09.2020  of the Gujarat Authority for Advance Ruling in respect of Ruling No. 2 and 3. We do not agree with the view of the GAAR ruling in respect of Question No.2 and rule that the recipient of service is located outside India i.e. SPA in terms of consideration paid to the appellant and not Indian Customer. Further in respect to Ruling No. 3, in view of the clarification given by the board (CBIC) vide Circular No. 159/15/2021-GST  dated 20.09.2021, it is ruled that the appellant is not an ‘intermediary’ in terms of provisions of Section 2(13) of IGST Act, 2017.