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In Re : Tata Projects Limited

In Re : Tata Projects Limited
GST
2018 (10) TMI 1245 – AUTHORITY FOR ADVANCE RULING – BIHAR – 2018 (17) G.S.T.L. 480 (A. A. R. – GST)
AUTHORITY FOR ADVANCE RULING – BIHAR – AAR
Dated:- 24-8-2018
AR(B)-01/2018-19
GST
Shri Sanjay Kumar Mawandia, Member (State Tax) and T.G.Rathode, Member (Central Tax)

Represented By : Shri Shantanu Chakravarthy, Assistant Vice President, Finance & Accounts, for the Assessee.

ORDER

'Railway' means a railway, or any portion of a railway, for the public carriage of passengers or goods, and includes –

(a) All lands within the fences or their boundary marks indicating the limits of the land appurtenant to a railway;

(b) All lines of rails, sidings, or yards, or branches used for the purposes of, or in connection with, a railway;

(c) All electric traction equipment, power supply and distribution installations used for the purposes of, or in connection with, a railway;

(d) All rolling stock, stations, offices,

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xxxxxxxxxxxxxxxxx

(d) xxxxxxxxxxxxxxxxx

(e) xxxxxxxxxxxxxxxxx

(f) xxxxxxxxxxxxxxxxx

“A track made of steel rails along which trains run.”

North American term 'railroad”

1. Civil Appeal No. 1722/1969 P.C. Cheriyan v. Barfi Devi on 16 October, 1979 [1979 (4) E.L.T. (J 593) (S.C.)].

2. M/s. Msco. Pvt. Ltd. v. Union of India & Other on 31 October, 1984 [1985 (19) E.L.T. 15 (S.C.)].

3. State of Madhya Pradesh v. Merico Industries Ltd., Civil Appeal No. 8656/2015 @ SLP(C) No. 21106 of 2014 [2016 (338) E.L.T. 335 (S.C.)]

4. Civil Appeal No. 3467/2007 Trutuf Safety Glass Industries v. Commissioner of sales Tax, UP [2007 (215) E.L.T. 14 (S.C.)]

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2. Ã Â¤ââ¬ Ã Â¤ÂµÃ Â¥ââ¬¡Ã Â¤Â¦Ã Â¤ââ¬¢ Ã Â¤ÂÃ Â¤ââ¬¢ Ã Â¤ââ¬¢Ã

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–
Document 7
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¥ââ¬¡Ã Â¤ÂªÃ Â¥ÂÃ Â¤Â°Ã Â¤Â¾ Ã Â¤ÂÃ Â¤ââ¬¢ Joint Venture Ã Â¤ââ¬¢Ã Â¤Â®Ã Â¥ÂÃ Â¤ÂªÃ Â¤Â¨Ã Â¥ââ¬

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Commissioner of CGST, ST And Central Excise Versus Cea Raj Constructions

Commissioner of CGST, ST And Central Excise Versus Cea Raj Constructions
Central Excise
2018 (10) TMI 1370 – BOMBAY HIGH COURT – TMI
BOMBAY HIGH COURT – HC
Dated:- 24-8-2018
Notice of Motion No. 165 of 2018 And Central Excise Appeal (L) NO. 15 of 2018
Central Excise
MR M. S. SANKLECHA AND MR RIYAZ I. CHAGLA, JJ.
For The Applicant : Ms. Neha Mehta and Nikhil Wadikar
ORDER
This Motion has been taken out for condonation of delay in filing the Appeal under Section 35G of Cen

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Seeks to extend the due dates for filing FORM GSTR-3B for the months of July, 2018 and August, 2018.

Seeks to extend the due dates for filing FORM GSTR-3B for the months of July, 2018 and August, 2018.
F.No. 3240/CTD/GST/2018/08 Dated:- 24-8-2018 Puducherry SGST
GST – States
Puducherry SGST
Puducherry SGST
GOVERNMENT OF PUDUCHERRY
COMMERCIAL TAXES DEPARTMENT
F.No. 3240/CTD/GST/2018/8.
Puducherry, the 24th August 2018.
NOTIFICATION
In exercise of the powers conferred by sub-rule (5) of rule 61 of the Puducherry Goods and Services Tax Rules, 2017 (hereafter in this notification referred to as the said rules), read with section 168 of the Puducherry Goods and Services Act, 2017 (Act No. 6 of 2017) [hereafter in this notification referred to as the said Act], the Commissioner of State Tax, Puducherry, on the recommendations

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M/s Visa Resources India Limited Versus Commissioner of CGST & C. Ex., Kolkata North

M/s Visa Resources India Limited Versus Commissioner of CGST & C. Ex., Kolkata North
Service Tax
2018 (12) TMI 862 – CESTAT KOLKATA – TMI
CESTAT KOLKATA – AT
Dated:- 24-8-2018
Appeal No. ST/75425/2018 – FO/76539/2018
Service Tax
Shri P.K. Choudhary, Member (Judicial)
Shri Nand Kishore Kothari, CA for the Appellant (s)
Shri H.S. Abedin, AC(AR) for the Respondent (s)
ORDER
Per Shri P.K. Choudhary
The facts of the case in brief are that the appellant assessee is engaged in the business of trading of minerals, metals and energy products in India as well as export of such goods. For the purpose of export of goods, the appellant has availed various taxable services on payment of Service Tax. Claim for rebate of service tax amounting to Rs. 2,83,731/- paid on the specified taxable services used for export of goods, during the period from 03.05.2014 to 12.07.2014, was submitted on 27.04.2015 under Notification No.41/2012-ST dated 29.06.2012. Show Cause Notice date

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der, if it remains not paid by the party”
The assessee is in appeal before the Tribunal against the impugned order.
2. Ld. Consultant appearing on behalf of the appellant company submits that since the Notification No. 41/2012-ST dated 29.06.2012 is a beneficial legislation, the intent to promote exports by granting exemption of the service tax paid on various services utilized by the exporter during the course of exports of the goods has to be construed liberally.
3. Ld. D.R. reiterates the orders of the lower appellate authority.
4. I find that the issue is no more resintegra in view of the various decisions of the Tribunal holding a consistent view. I also find that this Bench in the case of Commissioner of Service Tax-II, Kolkata vs. SSK Exports Ltd. & others in Final Order No.FO/77622-77631/2017 in Appeal Nos. ST/76918, 76926, 76925, 76927, 76922, 76921/16, 76961, 76924, 76919 & 76923/16, wherein under similar circumstances, Revenue has contended that the refund claim for eac

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under:
“6. The Department also observes that claim cannot be filed under Para 3 in the difference between the amount of rebate under the procedure specified in paragraph 2 and paragraph 3 is less than twenty per cent of the rebate available under the procedure specified in paragraph 2 in terms of Para 1 (c) of the Notification and accordingly. Accordingly, the refund of service tax of Rs. 1,64,163/- in respect of a few shipping bills under Para 3 is erroneous for the reason indicated above and the same needs to be recovered with interest.
7. The other grounds taken in the appeal are that rebate claim in respect of each shipping bill in an application is a separate claim and the requirement of certificate on the documents enclosed with Form A-1 in terms of clause (h) and clause (i) of Paragraph 3 of the Notification is required to be fulfilled with reference to each shipping bill. It is also contended that in respect of two shipping bills appearing in serial numbers 1 and 2, the re

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turer-exporter, who is registered as an assessee under the Central Excise Act, 1944 (1 of 1944) or the rules made thereunder, shall file a claim for rebate of service tax paid on the taxable service used for export of goods to the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, having jurisdiction over the factory of manufacture in Form A-1;
(d) the exporter who is not so registered under the provisions referred to in clause (c), shall before filing a claim for rebate of service tax, file a declaration in Form A-2, seeking allotment of service tax code, to the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, having jurisdiction over the registered office or the head office, as the case may be, of such exporter;
(e) the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, shall, after due verification, allot a serv

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export goods and the exporter is registered with the Export Promotion Council sponsored by Ministry of Commerce or Ministry of Textiles, Form A-1 shall be submitted along with relevant invoice, bill or challan, or any other document for each specified service, in original, issued in the name of the exporter, evidencing payment for the specified service used for export of the said goods and the service tax paid thereon, certified in the manner specified in sub-clauses (A) and (B) :
(A) if the exporter is a proprietorship concern or partnership firm, the documents enclosed with the claim shall be self-certified by the exporter and if the exporter is a limited company, the documents enclosed with the claim shall be certified by the person authorised by the Board of Directors;
(B) the documents enclosed with the claim shall also contain a certificate from the exporter or the person authorised by the Board of Directors, to the effect that specified service to which the document pertain

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) that duly certified documents have been submitted evidencing the payment of service tax on the specified services ;
(iii) that rebate has not been already received on the shipping bills or bills of export on the basis of procedure prescribed in paragraph 2; and
(iv) that the rebate claimed is arithmetically accurate,
refund the service tax paid on the specified service within a period of one month from the receipt of said claim :
Provided that where the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, has reason to believe that the claim, or the enclosed documents are not in order or that there is a reason to deny such rebate, he may, after recording the reasons in writing, take action, in accordance with the provisions of the said Act and the rules made thereunder”.
8.1 From the bare reading of the Notification, it is clear that rebate may be claimed on the service tax actually paid on any specified service used for e

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nd that in the Form A-1, details of shipping bill/bill of export, details of goods exported, details of specified services used for export of goods, documents evidencing payment of service tax and total amount of service tax paid and claimed as rebate have to be furnished. Again, under column “total amount of service tax paid and claimed as rebate” as a percentage of FOB value in shipping bill has to be shown. Therefore, from the Form A-1 and its table it is clear that claim is not shipping bill wise but only details have to be furnished separately for each shipping bill. Nowhere in the Paragraph 3 of the Notification, it is stated that rebate claim has to be filed shipping bill wise. Further, the total amount of service tax paid which is claimed as rebate has to be shown in figure and as a percentage of total FOB value in shipping bill. This also shows that it is not shipping bill specific when more than one shipping bills are involved in a claim. Therefore, there is no requirement to

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IN RE: M/s. DRS MARINE SERVICES PRIVATE LIMITED

IN RE: M/s. DRS MARINE SERVICES PRIVATE LIMITED
GST
2018 (12) TMI 893 – AUTHORITY FOR ADVANCE RULING, MAHARASHTRA – 2019 (20) G. S. T. L. 471 (A. A. R. – GST)
AUTHORITY FOR ADVANCE RULING, MAHARASHTRA – AAR
Dated:- 24-8-2018
GST-ARA-34/2018-19/B-99
GST
SHRI B.V. BORHADE, AND SHRI PANKAJ KUMAR, MEMBER
PROCEEDINGS
(Under section 98 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017)
The present application has been filed under section 97 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017 [hereinafter referred to as “the Act and MGST Act”] by DRS MARINE SERVICES PRIVATE LIMITED, the applicant, seeking an advance ruling in respect of the following issue.
“Whether GST is applicable on Reimbursement of salary on behalf of foreign entity.”
At the outset, we would like to make it clear that the provisions of both the CGST Act and the MGST Act are the same except for c

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Currency Account by Ship Manning/ Crew Management Agencies. According to the circular the credit to such foreign currency account would be through normal banking channels from the overseas principal and the debits would be towards various local expenses in connection with the management of Ships/Crew in the ordinary course of business. (A copy of the said RBI Circular is attached herewith for ready reference).
In view of the said RBI Circular, our principal has requested us for disbursal of salary to the crew members from our side. For this the principal would be transferring the sum of total salary to us and we will be disbursing the salary to the crew member through banking channels into their respective accounts. For this activity we would be charging/ invoicing service charges to the principal and on the said charges we would be discharging our GST liability.
In view of Rule 33 of the Central Goods and Service Tax Rules, 2017, the expenditure or costs incurred by a supplier as a

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India) Regulations, 2000 notified vide Notfn No. FEMA 10/2000-RB dtd May 3, 2000, as amended from time to time, & A.P. (DIR Series) Circular No. 48 dtd April 30, 2007, in terms of which general permission is available to ship-manning/ crew managing agencies that are rendering services to shipping/ airline companies incorporated outside India, to open, hold and maintain non-interest bearing foreign currency account with an AD Category – I bank in India for meeting the local expenses in India of such shipping or airline company.
2. With a view to ensuring strict compliance, our guidelines on the operations in such foreign currency accounts opened with AD Category-I banks by foreign shipping or airline companies or their agents in India are reproduced below:
a) Credits to such foreign currency accounts would be only by way of freight or passage fare collections in India or in ward remittances through normal banking channels from the overseas principal. Debits will be toward Various loca

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be seen thus-
The taxable person M/S DRS MARINE SERVICES PVT. LTD has approached your good offices for an advance ruling to determine liability to pay tax on a transaction of service. In context of this application it is submitted that-
The applicant DRS MARINE SERVICES PVT. LTD is a company incorporated under the Companies Act, 1956 having its registered office at Mumbai, Maharashtra.
The Applicant's nature of services are Manpower Recruitment Services (HSN Code: 99851).
The applicant was providing services of manpower recruitment to M/S RMS Ltd, Bermuda. The applicant wef 05-07-2018 by way of addendum provides further services.
The additional Services and Fees are being incorporated as an addendum as follows:
2. Fee
2.4 Cost related to Training/ Briefing, Interviews in other Cities etc will be invoiced once approved on actual basis.
2.5 A Fix fees of US S 1250.00 per month will be charged as service charges towards disbursement of salaries.
2.6 GST as applicable.
3. Salary

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urred by a supplier as a pure agent of the recipient of supply shall be excluded from the value of supply, if all the following conditions are satisfied, namely,-
(i) the supplier acts as a pure agent of the recipient of the supply, when he makes the payment to the third party on authorisation by such recipient;
(ii) the payment made by the pure agent on behalf of the recipient of supply has been separately indicated in the invoice issued by the pure agent to the recipient of service; and
(iii) the supplies procured by the pure agent from the third party as a pure agent of the recipient of supply are in addition to the services he supplies on his own account. Explanation.-
For the purposes of this rule, the expression “pure agent” means a person who-
(a) enters into a contractual agreement with the recipient of supply to act as his pure agent to incur expenditure or costs in the course of supply of goods or services or both;
(b) neither intends to hold nor holds any title to

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e was taken up for Preliminary hearing on dt. 04.07.2018 when Sh. Mukund Pol, C.A. along with Sh. R. S. Bajwa, Director appeared & requested for admission of application as per contentions in their ARA. They were requested to provide copies of contracts that they were having with RMS in respect of recruitment services and salary transfer services or contract of any other nature as applicable. Jurisdictional Officer, Ms. R. S. lyer, State Tax Officer appeared and stated they have made written submissions.
The application was admitted and called for final hearing on 01.08.2018. Sh. Mukund Pol, C.A. along with Sh. R. S. Bajwa, Director appeared and made oral and written submissions. Jurisdictional Officer, Sh. Avinash Shinde, Dy. Commr of SGST appeared and made written submissions.
05. OBSERVATIONS
We have gone through the facts of the case, documents on record and submissions made by both, the applicant and the department.
The applicant is a Crew Recruitment and Placement Agency, an

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that, the amount so remitted towards disbursal of salary would not be taxable under GST in view of provisions of Rule 33 of the CGST Rules, 2017.
The applicant has submitted that as per Regulation 6 of Foreign Exchange Management (Foreign Currency Accounts by a person resident in India) Regulations, 2000 notified vide Notification No. FEMA 10/2000-RB dated May 3, 2000, as amended from time to time, and A.P. (DIR Series) Circular No. 48 dated April 30, 2007, general permission is available to ship- manning/crew managing agencies that are rendering services to shipping/ airline companies incorporated outside India, to open, hold and maintain non-interest bearing foreign currency account with an AD Category – I bank in India for meeting the local expenses in India of such shipping or airline company.
The question raised by the applicant is connected with their agreement that they have entered into with M/s. Reefership Marine Services Limited (RMS), situated in Bermuda, i.e. outside Indi

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At point 2.5 of the said addendum it is mentioned that “a fix fees of LIS$ 1250.00 per month will be charged as service charges towards disbursement of salaries inclusive of GST applicable”
From a reading of points 2.5 and 3 of the Addendum #5 submitted by the applicant it is clear that the Salary of Crews of RMS will be deposited in the account of the applicant in one go and the same will be transferred from the applicant's account directly to the bank accounts of the Crews, by the bank, on the directions of the applicant. Here we find that the entire amount received by the applicant from RMS towards salary of crews is disbursed as such. Hence with respect to this transaction it is crystal clear that the applicant is acting as a pure agent of RMS.
Here is to reiterate that the amounts that are to be transferred to this account have to be genuinely in respect of salary of crew as discussed and no other amounts which are not authorized and due as salary can be handled through this ac

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ses of this rule, the expression “pure agent” means a person who-
(a) enters into a contractual agreement with the recipient of supply to act as his pure agent to incur expenditure or costs in the course of supply of goods or services or both;
(b) neither intends to hold nor holds any title to the goods or services or both so procured or supplied as pure agent of the recipient of supply;
(c) does not use for his own interest such goods or services so procured; and
(d) receives only the actual amount incurred to procure such goods or services in addition to the amount received for supply he provides on his own account.
From the above provisions of Rule 33 and the facts of the proposed transaction explained by the applicant, we find that the applicant will be acting as a pure agent of RMS in as much as the entire amount received by them as Crews' Salary will be disbursed to the Crew and no amounts from the said receipt will be used by the applicant for his own interest. In f

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LUT and ARN is the same?

LUT and ARN is the same?
Query (Issue) Started By: – negi ns Dated:- 23-8-2018 Last Reply Date:- 27-8-2018 Goods and Services Tax – GST
Got 5 Replies
GST
is ARN and LUT no. same.?
we got the ARN no. but LUT no. not mention there. can we get LUT online (first time)?
Reply By KASTURI SETHI:
The Reply:
Dear Querist, Go through this circular. Your doubt will be clear.
Exports – Furnishing of Bond/Letter of Undertaking for exports – Clarification
C.B.I. & C. Circular No. 40/14/2018-

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Canteen Supplies to SEZ unit employees

Canteen Supplies to SEZ unit employees
Query (Issue) Started By: – Ravikumar Doddi Dated:- 23-8-2018 Last Reply Date:- 26-9-2018 Goods and Services Tax – GST
Got 15 Replies
GST
Dear sir,
Kindly clarify as to GST Head of tax, dealer running a canteen in a SEZ unit, for the supplies done to employees as per the agreement they are collecting IGST from the SEZ Unit , often employees will also come and eat in the same canteen by paying their personal money to the canteen, Which tax we have to collect and pay either local tax(CGST+SGST) or IGST.
Reply By Ganeshan Kalyani:
The Reply:
In my view, cgst, sgst is applicable.
Reply By KASTURI SETHI:
The Reply:
I am also of the same view as opined by Sh.Ganeshan Kalyani Ji.
Reply By Ramaswamy S:
The Reply:
As per the 26th July, ,2018 order of Advance Ruling of Karnataka in the case of Coffee Day, = 2018 (8) TMI 875 – AUTHORITY FOR ADVANCE RULINGS, KARNATAKA the supplies do not qualify as zero rated as per the IGST Act, 2017. Th

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ited – 2018 (8) TMI 875 – AUTHORITY FOR ADVANCE RULINGS, KARNATAKA
a) The applicant installs beverage vending machines inside SEZ premises, prepares beverages using the vending machines & its ingredients, supplies to SEZ units which are consumed by the employees of SEZ units and charge the SEZ units based on number of cups of beverages supplied. (Cuppage billing)
b) The applicant installs beverage vending machines inside SEZ premises, supplies beverage ingredients to the SEZ units and bills based on the quantity of ingredients supplied. SEZ units prepare the beverages using the vending machines and serve them to its employees. There will not be any consideration for the usage of vending machine by the SEZ units.
Reply By Ravikumar Doddi:
The Reply:
Dear sir,
My question is Supplies done to SEZ is making bill as per the agreement under IGST, and another supply is Employees of SEZ other than agreement supply i.e, General supply, which tax to collect.
Reply By Ramaswamy S:
The Reply

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kes it clear that IGST is applicable.
Reply By Ganeshan Kalyani:
The Reply:
Views expressed by Sri Ramasamy Sir and Sri Kasturi Sir clarifies that Igst is applicable. I go with third views.
Reply By Ganeshan Kalyani:
The Reply:
* their
Reply By subramanian vijayakumar:
The Reply:
You have to pay IGST AND ABREE WITH THE VIEWS OF RAMASAMY SIR
Reply By Nitin Vipradas:
The Reply:
There are two cases. 1. supplies through vending machine.
2.General supplies such as buisuits chips curd shrikhand other than tea. These are on payment by employee in cash.
These bought out items sold supplied by vendors to employees for which whether bills to be issued by canteen contractors whose billing per month is 12 lacs. And taxability will be IGST or else as in SEZ.
In my opinion it is taxable. As supply is within sez to SEZ even though it will not attract s ction 16 zero rated. Moreover it is no way to furtherance of export business. It is a sales and purchase between employees and contracto

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Purchase Rejection procedure in GST

Purchase Rejection procedure in GST
Query (Issue) Started By: – Yatin Bhopi Dated:- 23-8-2018 Last Reply Date:- 24-4-2019 Goods and Services Tax – GST
Got 17 Replies
GST
Sometimes we received defective goods which need to be return to seller. For rejecting goods, under Section 34 of CGST ACT 2017, supplier of goods should issue credit note and he should declare this credit note in GSTR-1. Once seller uploads credit note, GST amount will be reflected in our GSTR-2 it will be reduce our available ITC.
Is that mean for every purchase rejection we need to First avail the Input tax credit (whether full or part rejection) so that when seller issue credit note it will be nullify.
Please let me know
Reply By Praveen Nair:
The Reply:
Dear Yatin
How will you send back the defective material to the Supplier?
1. With a Tax Invoice by charging GST? or
2. Against a Delivery Challan?
Let me know
Reply By Yatin Bhopi:
The Reply:
goods will be return on delivery challan and ewa

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ds rejected, the invoice is either short booked to the extent of rejection and the Debit note issued to the Supplier. Therefore, there is no question of ITC at the recipient end. At the supplier end, the issuance of Credit Note reduces his liability and the receivables, the tax is also reduced based on the Credit Note.
Regards
S.Ramaswamy
Reply By Ganeshan Kalyani:
The Reply:
I fully agree with you Sir.
Reply By DR.MARIAPPAN GOVINDARAJAN:
The Reply:
I endorse the views of Sri Ramaswamy.
Reply By Arunachalam siva:
The Reply:
sir, If there is a difference in value/tax rate, either CN/DN to be issued. If defective item received, account it and avail credit, then return under cover of Tax invoice and pay tax. Now tax effect is nil. further to state that purchase return has to be treated as deemed supply by recipient under GST. Sending material back under DC seems improper.
Reply By Ramaswamy S:
The Reply:
36
What is the procedure for return of goods under GST?
In terms of Sec

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se Credit Note and consider the same in GSTR-1, which will reflect in your GSTR2A and on acceptance of the said credit note the amount will be reduced from your Electronic Credit Ledger online, which you may have already debited by raising a Tax Invoice (reflected in your GSTR 1 & GSTR 3B) hence possibility of double effect.
It is advisable to send material by DC as suggested by other experts with E-Way bill.
Regards
Pravin
Reply By Avneesh Sachdev:
The Reply:
hello all,
why cant the receiver just issue a tax invoice back to the vendor instead of all this.
Reply By Praveen Nair:
The Reply:
In most of the company it has been seen that there are process for Inward of goods. If the goods are received in the system they may either;
a. Send back the material against a Tax Invoice or
b. Send back the material against DC.
If the goods are sold prior to the appointed date (excise law) and received after appointed date (GST) then Tax Invoice should be raised by the purchaser for any

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INVENTORY -PROVISION FOR WRITE OFF IN BOOKS OF ACCOUNTS

INVENTORY -PROVISION FOR WRITE OFF IN BOOKS OF ACCOUNTS
Query (Issue) Started By: – Ramaswamy S Dated:- 23-8-2018 Last Reply Date:- 28-8-2018 Goods and Services Tax – GST
Got 6 Replies
GST
Section 17(5)(h) of the CGST Act, 2017 says that the ITC is not allowed if the stock is written off in the books of accounts.
Rule 3(5B) of Cenvat Credit Rules says that the Credit is to be reversed if the stock is written off fully or partially or provision is made in the books of accounts partially or fully.
Further, the CCR provided the recredit of credit reversed already whereas there is no such provision in the GST.
There is a difference in the two provisions.
Whether this omission is a unintentional or delibrate?
Whether the ITC is

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e law is evolving. The omission may be intentional or may be mistake. But as of the law is clear that only if stock is written off in the books it has to be considered for reversal of credit. If you differ with my view, kindly share sir.
Reply By Ramaswamy S:
The Reply:
Thank you sir for your views. Hitherto, the benefit of doubt is to be given to the assessee and not the revenue. The latest Apex Court ruling has reversed the same. It is the same old officers in the department whose mind set is yet to change and will err on the revenue side and issue notice for the same. From the plain reading, it is not includible. However, with the litigation, the Govt can either provide an explanation stating that the words : written off includes provi

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the said input or capital goods."
Section 17 (5) (h) of CGST Act, 2017 stipulates that " Notwithstanding anything contained in sub-section (1) of section 16 and subsection (1) of section 18, input tax credit shall not be available in respect of goods lost, stolen, destroyed, written off or disposed of by way of gift or free samples."
In Section 17 (5) (h) of CGST Act, 2017 the words and phrases where any provision to write off fully or partially has been made in the books of account is absent. Therefore only when the inputs and/or capital goods are written off fully input tax credit availed on such inputs and/or capital goods is to be paid back. Therefore, in my opinion, where any provision to write off fully or partially h

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COMMISSIONER, CENTRAL GST AND CENTRAL EXCISE VADODARA – II Versus M/s MEGHMANI FINCHEM LTD.

COMMISSIONER, CENTRAL GST AND CENTRAL EXCISE VADODARA – II Versus M/s MEGHMANI FINCHEM LTD.
Central Excise
2018 (8) TMI 1451 – GUJARAT HIGH COURT – TMI
GUJARAT HIGH COURT – HC
Dated:- 23-8-2018
R/TAX APPEAL NO. 1043 of 2018
Central Excise
MR. AKIL KURESHI AND MR. B.N. KARIA, JJ.
For The Petitioner : Mr Nirzar S Desai (2117)
For The Respondent : Mr Paresh M Dave(260)
ORAL ORDER
(PER : HONOURABLE MR.JUSTICE AKIL KURESHI)
1. This Tax Appeal is filed by the department challenging the order of Customs, Excise and Service Tax Appellate Tribunal dated 31.07.2017. The issue arises in somewhat peculiar background. We may briefly record the facts:
2. The principal issue between the department and the respondent-manufacturer is with respect to the assessee's claim of Cenvat credit of service tax paid on sales commission. Such an issue was decided by Division Bench of this Court in case of Commissioner of Central Excise, Ahmedabad vs. Cadila Healthcare Ltd reporte

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the Tribunal on this very issue. The department obviously placed heavy reliance on the judgements of High Court in cases of Commissioner of Central Excise, Ahmedabad vs. Cadila Healthcare and Astik Dyestuff Pvt. Ltd vs. Commissioner of Central Excise and Customs. The assessees relied on the amendment to the definition of term “input service” and argued that the same would apply to all pending cases irrespective of the date of amendment.
4. In view of such facts, the options before the Tribunal were either to await the outcome of the department's appeal in case of Essar Steel India Ltd (supra) if the decision in such appeal was likely to be rendered in near foreseeable future which would in addition to reducing the effort of both sides would also in many cases eliminate one stage of litigation. However, if the Tribunal was of the opinion that the judgement of the High Court may not be available in near future or for any such other good reason, it would not possible or advisable to

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en to reopening of all the issues. This would lead to multiplicity of proceedings. The parties, i.e. the department or the assessee, as the case may be, would have to file fresh proceedings once the High Court disposes of the appeal in case of Essar Steel India Ltd. In the mechanism provided, the Tribunal has also left many gaps. For example, there is no clarity as to what time limit within which the parties would have to file fresh proceedings. The Tribunal merely stated that soon after the verdict either side can approach. This term “soon after the verdict” is not possible of any clear application. Further, we wonder what would happen if no appeal is filed as per the liberty granted by the Tribunal. Whether the decision against the losing party would achieve finality; in which case what would happen to the tax or the refund is not clear. At which point of time such finality would be presumed is not specified. All in all, this is the most unsatisfactory manner in which, such large num

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Commissioner of Central Excise Delhi-III (now Commissioner of Goods and Services Tax, Gurugram) Versus M/s Chang Yun India Ltd.

Commissioner of Central Excise Delhi-III (now Commissioner of Goods and Services Tax, Gurugram) Versus M/s Chang Yun India Ltd.
Central Excise
2018 (8) TMI 1507 – PUNJAB AND HARYANA HIGH COURT – TMI
PUNJAB AND HARYANA HIGH COURT – HC
Dated:- 23-8-2018
CEA No.36 of 2018 (O&M)
Central Excise
MR. RAJESH BINDAL AND MR. AMIT RAWAL, JJ.
For The Appellant : Mr. Sourabh Goel, Advocatea
ORDER
RAJESH BINDAL J.
The appellant in the present appeal has challenged the order dated 05.06.2017 passed by the Customs, Excise and Service Tax Appellate Tribunal, Chandigarh arising out of Appeal No. E/395/2012, raising the following substantial questions of law:-
“(i) Whether the impugned order dated 05.06.2017 Annexure A-4 passed b

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benefit of CENVAT Credit for 'rent service', when admittedly, the part of premises has been sub leased to sister concern and therefore that part of service is not availed and does not have nexus with manufacturing process?
(iv) Whether Hon'ble CESTAT is justified in not considering the provisions of Rule 9 of CENVAT Credit Rules, 2004 which categorically provides for the documents on the basis of which CENVAT Credit may be claimed by the party?
(v) Whether the Ld. CESTAT has committed a grave error in allowing the appeal of the respondent and allowing CENVAT Credit claimed by the respondent on the basis of debit notes which does not find mention in Rule 9 of the CENVAT Credit Rules, 2004?
(vi) Whether in the facts and c

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To extend the due date for filing of FORM GSTR-3B for the month of July, 2018.

To extend the due date for filing of FORM GSTR-3B for the month of July, 2018.
35/2018-State Tax Dated:- 23-8-2018 Maharashtra SGST
GST – States
Maharashtra SGST
Maharashtra SGST
COMMISSIONER OF STATE TAX, MAHARASHTRA STATE
GST Bhavan, Mazgaon, Mumbai 400 010,
dated the 23rd August 2018.
NOTIFICATION
Notification No. 35/2018-State Tax
MAHARASHTRA GOODS AND SERVICES TAX ACT, 2017.
No. JC(HQ)-1/GST/2018/Noti/Returns/ADM-8.- In exercise of the powers conferred by section 168 of the Maharashtra Goods and Services Tax Act, 2017 (XLIII of 2017) read with sub-rule (5) of rule 61 of the Maharashtra Goods and Services Tax Rules, 2017, the Commissioner of State Tax, Maharashtra State, on the recommendations of the Council, hereby

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M/s Vasu Clothing Private Limited Through Shri Ajay Jain Versus Union Of India Through Ministry Of Finance

M/s Vasu Clothing Private Limited Through Shri Ajay Jain Versus Union Of India Through Ministry Of Finance
GST
2018 (9) TMI 118 – MADHYA PRADESH HIGH COURT – 2018 (19) G. S. T. L. J73 (M. P.)
MADHYA PRADESH HIGH COURT – HC
Dated:- 23-8-2018
W. P. No. 17999 of 2018
GST
P. K. Jaiswal And S. K. Awasthi, JJ.
Shri R. Gogoi and Shri Alok Barthwal, learned Counsel for the petitioner
Shri Prasanna Prasad, learned Counsel for the respondents
ORDER
Heard on the question of admission as well as for grant of interim relief.
Issue notice.
Shri Prasanna Prasad, learned Counsel accepts notice on behalf of respondents and, therefore, no further notice is required.
In respect of interim relief, learned Counsel for the petitioner

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APGST Act, 2017- Intelligence based Enforcement action- Tax payers allotted to Central Tax Authorities – GST Council decisions on Cross –Empowerment

APGST Act, 2017- Intelligence based Enforcement action- Tax payers allotted to Central Tax Authorities – GST Council decisions on Cross –Empowerment
CCW/GST/74/2015 Dated:- 23-8-2018 Andhra Pradesh SGST
GST – States
Circular No. CCT's Ref. No. CCW/GST/74/2015 Dated. 23rd August, 2018
Office of the
Chief Commissioner of State Taxes,
Edupugallu, Vijayawada.
Present :- Sri J.Syamala Rao, I.A.S.,
Sub :- APGST Act, 2017- Intelligence based Enforcement action- Tax payers allotted to Central Tax Authorities – GST Council decisions on Cross -Empowerment- Reg.
Ref :-1. Minutes of the 9th GST Council Meeting held on 16.1.2017.
2. Minutes of the Coordination meeting held on 29.5.2018 at CGST, Visakapatnam.
********
It is notice

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the State tax administration on the same basis as under the CGST and SGST Acts either under law or under Article 258 of the Constitution but with the exception that the Central tax administration shall alone have the power to adjudicate a case where the disputed issue relates to place of supply, or when an affected State requests that the case be adjudicated by the CGST authority and for such issues of export and import as may be discussed in the Law Committee of officers and brought back to the Council for decision:
Further in the coordination meeting of the Central Tax and State Tax authorities of Andhra Region the following decisions relate to Enforcement Activities are taken.
A) Intelligence based irregularities: –
The authority dete

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The Principal Commissioner of GST & Central Excise, Chennai Versus C. Kamalakannan

The Principal Commissioner of GST & Central Excise, Chennai Versus C. Kamalakannan
Service Tax
2018 (9) TMI 262 – MADRAS HIGH COURT – 2018 (18) G. S. T. L. 589 (Mad.)
MADRAS HIGH COURT – HC
Dated:- 23-8-2018
Civil Miscellaneous Appeal No.35 of 2018 and CMP.No.441 of 2018
Service Tax
T. S. Sivagnanam And V. Bhavani Subbaroyan, JJ.
For the Appellant : Mr.T.L.Thirumalaisamy, SPC
For the Respondent : Mr.N.V.Balaji
ORDER
Judgment was delivered by T. S. Sivagnanam, J.
This appeal filed by the Revenue is directed against the order passed by the Customs, Excise and Service Tax Appellate Tribunal, South Zonal Bench, Chennai in Appeal No.ST/41802/2016-SM in Final Order No.40715 of 2017 dated 18.5.2017.
2. The above appeal is admitted on the following substantial question of law :
“In the facts and circumstances of the case, in the absence of documentary evidence to show that the assessee had acted in bona fide belief and in the light of evide

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d charges and value added tax on them. However, the distributors did not raise any separate sale document in respect of subsequent sales made by them and did not charge sales tax/VAT on such sales and thus, they acted as a commission agent on behalf of the principal by promoting their products.
5. On scrutiny of the records furnished by the assessee, the Original Authority stated that the assessee is not registered with the Department till 17.7.2012 whereas he received commission charges for the services provided under the category 'business auxiliary service' from 2007-08 to 2011-12. However, the assessee did not disclose the actual amount received as commission as reflected in his balance sheets in the ST-3 returns filed on 24.8.2012 for the period from 2007-08 to 2011-12.
6. It appears that certain clarifications were obtained by the assessee and a statement was also recorded and ultimately, the assessee was called upon to show cause as to why the service tax along with ce

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Section 73(3) of the Finance Act, 1994 since there is no fraud or suppression of facts, etc., and the entire service tax along with interest was paid before the Department and the Department had any clue that the appellant was providing taxable service and before issuance of the said show cause notice and that therefore, they were covered under Section 73(3) of the Finance Act, 1994. Apart from the above contention, the assessee also advanced other contention on facts and relied upon certain judicial precedents.
9. The Tribunal, vide final order dated 18.5.2017, disposed of the appeal in favour of the assessee by setting aside the order passed by the Adjudicating Authority as well as the First Appellate Authority and held that the demand beyond the period of limitation would not be sustainable. Hence, the Revenue is on appeal before us as against order of the Tribunal.
10. We have heard Mr.T.L.Thirumalaisamy, learned Senior Panel Counsel appearing for the appellant and Mr.N.V.Balaji,

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taxable services and certain Appellate Authorities hold otherwise, the Hon'ble Supreme Court, in the case of Continental Foundation Jt. Venture Vs. CCE, Chandigarh-I [reported in (2007) 216 ELT 177] considered the expressions used under the Proviso to Section 11A of the Central Excise Act, 1944 and held as follows:
“10. The expression 'suppression” has been used in the Proviso to Section 11A of the Act accompanied by very strong words as 'fraud' or “collusion” and, therefore, has to be construed strictly. Mere omission to give correct information is not suppression of facts unless it was deliberate to stop the payment of duty. Suppression means failure to disclose full information with the intent to evade payment of duty. When the facts are known to both the parties, omission by one party to do what he might have done would not render it suppression. When the Revenue invokes the extended period of limitation under Section 11-A the burden is cast upon it to prove suppr

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rticular stand which rules out application of Section 11A of the Act.
12. As far as fraud and collusion are concerned, it is evident that the intent to evade duty is built into these very words. So far as mis-statement or suppression of facts are concerned, they are clearly qualified by the word 'wilful', preceding the words “mis-statement or suppression of facts” which means with intent to evade duty. The next set of words 'contravention of any of the provisions of this Act or Rules' are again qualified by the immediately following words 'with intent to evade payment of duty.' Therefore, there cannot be suppression or mis-statement of fact, which is not wilful and yet constitute a permissible ground for the purpose of the Proviso to Section 11A. Mis-statement of fact must be wilful.
13. That being so, the adjudicating authorities were not justified in raising the demand and CEGAT was not justified in dismissing the appeals.
14. On the ground of adjudica

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ger period under the Proviso to Section 11A of the Central Excise Act, 1944 cannot be invoked.
15. The operative portion of the order in the decision in Charanjeet Singh Khanuja reads as follows :
“Another plea raised in these appeals is regarding limitation. It is the contention of the assessees that there was absolutely no suppression or mis-statement of facts or deliberate contravention of the provisions of the Finance Act, 1994 or of the Rules made thereunder with intent to evade payment of service tax. The Department's contention, on the other hand, is that the assessees neither obtained service tax registration nor did they declare their activities to the jurisdictional Service Tax Authorities nor did they file ST-3 return and, therefore, they are guilty of suppression of relevant facts and deliberate violation of the provisions of the Finance Act, 1994 and of the Rules made thereunder with intent to evade payment of tax. On considering the rival submissions on this point,

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oundation Joint Venture Vs. CCE [(2007) Taxmann.com 532], when there is scope for doubt in the mind of an assessee on a particular issue, the longer limitation period under Proviso to Section 11A(1) cannot be invoked and in our view, the ratio of this judgment of the Apex Court is applicable to the facts of these cases. Therefore, the longer limitation period of five years under Proviso to Section 73(1) of the Finance Act, 1994 would not be invocable and duty can be demanded for normal limitation period of one year from the relevant date.”
16. In the impugned order, the Tribunal had followed the decision in Charanjeet Singh Khanuja, which has attained finality. The Revenue does not dispute the fact that there were two views on the issue within the Department itself and this was considered by the New Delhi Bench of the Tribunal in a batch of appeals, which consisted of both appeals filed by the Department against the orders passed by the Commissioner (Appeals) as well as appeals filed

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M/s. Arignar Anna Sugar Mills Versus Commissioner of GST & Central Excise, Trichy

M/s. Arignar Anna Sugar Mills Versus Commissioner of GST & Central Excise, Trichy
Service Tax
2018 (9) TMI 387 – CESTAT CHENNAI – 2019 (26) G. S. T. L. 54 (Tri. – Chennai)
CESTAT CHENNAI – AT
Dated:- 23-8-2018
Appeal Nos. ST/526/2011 and ST/40938/2013 – Final Order Nos. 42303-42304 / 2018
Service Tax
Hon'ble Ms. Sulekha Beevi C. S., Member ( Judicial ) And Hon'ble Shri Madhu Mohan Damodhar, Member ( Technical )
Shri T. Ramesh, Advocate for the Appellant
Shri K. Veerabhadra Reddy, JC ( AR ) for the Respondent
ORDER
Per Bench
The appellants are engaged in the manufacture of sugar and molasses. They are holding registration for payment of service tax on the services of transport of goods by road in goods carriage. On the basis of intelligence received that the appellants are providing taxable services on manpower recruitment or supply agency service, but not taken registration and are not paying service tax, investigations were conducted. It was revealed that the

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o demand service tax along with interest and for imposing penalty under the category of manpower recruitment or supply agency service. After due process of law, the adjudicating authority confirmed the demand of Rs. 3,54,57,555/- for the period from November 2005 to September 2010 and Rs. 56,37,264/- for the period from October 2010 to March 2011 along with interest and also imposed penalties under Sections 77 and 78 of the Finance Act. Hence these appeals.
2. On behalf of the appellant, ld. Counsel Shri T. Ramesh submitted that the appellant is a public sector undertaking under the Government of Tamilnadu engaged in the manufacture of sugar. The sugar factory is totally controlled by the Government of Tamilnadu and the price of the goods manufactured by the factory is also controlled by the Government. Further, the price of sugarcane procured is also periodically fixed by the Government. The employees of the sugar mill in the muster roll of the mill which in turn is controlled by the

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they are also provided necessary facilities. One of the said facility is to get the farmers registered themselves with the appellant's factory / sugar mill. Though it has become duty bound to supply the sugarcane at the doorsteps of the appellant-factory and appellant agrees to pay the price for such supply as per the price fixed by the Government of Tamilnadu, it is to ensure that there is consistent supply of sugarcane at the time of seasonal period. On receipt of the sugarcane in the factory, the total quantity supplied by such grower would be quantified and the price is paid to them after deducting the labour charges for harvesting the sugarcane. The cutting charges are negotiated by the farmers with the cutting labourers and the appellant has no say whatever in fixing the cutting price of the sugarcane. The farmer alone is liable to pay cutting charges to the labourers and not the sugar mill. To ensure that the sugarcane is harvested and there is regular supply during the period

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.7.2018 in the case of M/s. The Amaravathi Cooperative Sugar Mills Ltd. It is also submitted by him that for the subsequent period for the same assessee, Commissioner (Appeals) had dropped the demand on similar set of facts.
4. The ld. AR Shri K. Veerabhadra Reddy supported the findings in the impugned order.
5. Heard both sides.
6. The demand has been made on manpower supply service alleging that the appellant have supplied manpower to the sugarcane farmers for sugarcane harvesting. The contention of the department that the charges towards supply of cane harvesting labourers are recovered from the farmers at the rate accepted by the farmers and therefore the said activity would be covered within the definition of manpower recruitment or supply agency service under Section 65(68) of the Finance Act, 1994. The appellant has replied to the show cause notice dated 5.4.2011. It is explained by the appellant that there is no employer and employee relationship between the cutting labourer

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Amendment of notification no-11872 dt-10.08.2018 filling of return in form GSTR-3B

Amendment of notification no-11872 dt-10.08.2018 filling of return in form GSTR-3B
POL-41/1/2017-POLlCY /12281/CT Dated:- 23-8-2018 Orissa SGST
GST – States
Orissa SGST
Orissa SGST
Commissionerate of CT and GST, Odisha (At Cuttack)
(Finance Department, Government of Odisha)
No-POL-41/1/2017-POLlCY /12281/CT
Dated 23.08.2018
NOTIFICATION
In exercise of the powers conferred by section 168 of the Odisha Goods and Services Tax Act, 2017 (Odisha Act 7 of 2017) (hereafter in this

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Advantage India Logistics Pvt. Ltd. Versus Union of India & others

Advantage India Logistics Pvt. Ltd. Versus Union of India & others
GST
2018 (9) TMI 1417 – MADHYA PRADESH HIGH COURT – 2018 (19) G. S. T. L. 46 (M. P.)
MADHYA PRADESH HIGH COURT – HC
Dated:- 23-8-2018
Writ Petition No. 16266 of 2018
GST
Shri Pankaj Kumar Jaiswal And Shri Sunil Kumar Awasthi, JJ.
For the Petitioner : Shri Vivek Dalal, learned counsel
For the Respondent Nos. 2 to 3 – State : Shri Romesh Dave, learned Government Advocate
ORDER
PER P.K. JAISWAL, J.
In the present writ petition, the petitioner – Advantage India Logistics Private Limited is praying for quashment of seizure memo dated 15.07.2018 (Annexure-P/1) issued under Section 129(1) of Madhya Pradesh Goods & Services Tax Act, 2017 (in short “the MPGST Act, 2017”).
2. According to the petitioner, M. P. State Government or officials authorized under the MPGST Act, 2017 have no jurisdiction to exercise the powers under the Integrated Goods and Services Act, 2017 (in short “the IGST Act, 2017), pa

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purposes of this Act, subject to such exceptions and conditions as the Government shall, on the recommendations of the Council, by notification, specify.
6. From perusal of the aforesaid, it is clear that the officers appointed under the MPGST Act, 2017 was authorized to be proper officers for the purposes of the IGST Act.
7. At present, no notification was issued by the Central Government under Section 4 of the IGST Act. By order dated 12.10.2017, the respondent No.4 was authorized as proper officer and was bestowed with powers such as inspection, search and seizure under Section 68 of the MPGST Act. Serial Nos.31 and 57 of the order dated 12.10.2017 (Annexure-R/1) reads as under :-
S. No.
Section
Functions Assigned
Desgination of Proper Officer
31
68(3)
To intercept any conveyance to inspect documents, devices and goods
Deputy Commissioner of State Tax Assistant Commissioner of State Tax State Tax Officer Inspector of State Tax Taxation Assistant
57
129(3)
To issue

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issued on 13.07.2018 to inspect the subject vehicle on 15.07.2018. On inspection, the respondent No.4 in exercise of powers under Section 129(1) of the MPGST Act passed the seizure order (Annexure-P/1) on 15.07.2018.
10. The respondent No.4 in compliance of the statutory mandate under Section 129(6) has passed a final order dated 23.07.2018 directing the petitioner to pay an amount of Rs. 4,20,266/- (minimum) as tax and penalty in terms of Section 129(3) of the MPGST Act.
11. Against the aforesaid final order dated 23.07.2018, statutory appeal under Section 109 of the Act has been provided.
12. Learned counsel for the petitioner has drawn our attention to Article 246-A and 269-A of the Constitution which was brought by one hundred and first (101) amendment on 08.09.2016 and submitted that Parliament has exclusive power to make laws with respect to goods and service tax where the supply of goods, or of services, or both takes place in the course of inter-state trade or commerce. As

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M/s. Geodis Overseas Pvt. Ltd. Versus Commissioner of GST & Central Excise Chennai

M/s. Geodis Overseas Pvt. Ltd. Versus Commissioner of GST & Central Excise Chennai
Service Tax
2018 (9) TMI 1666 – CESTAT CHENNAI – TMI
CESTAT CHENNAI – AT
Dated:- 23-8-2018
Appeal No. ST/391/2010 – Final Order No. 42290/2018
Service Tax
Ms. Sulekha Beevi C.S., Member (Judicial) And Shri Madhu Mohan Damodhar, Member (Technical)
Shri J. Shankar Raman, Advocate for the Appellant
Shri K. Veerabhadra Reddy, JC (AR) for the Respondent
ORDER
Per Bench
The facts of the case are that the appellants inter alia, were engaged in cargo handling service. Pursuant to audit, it appeared to the department that appellants (i) were required to pay service tax on reimbursable expenses incurred during the period 19.4.2006 to 31.7.2

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earing, ld. counsel Shri J. Shankar Raman appearing on behalf of the appellant submits that both the issues in dispute are no longer res integra and have been settled by number of decisions. In respect of demand pertaining to reimbursable expenses, he relies upon the decision of the Hon'ble Supreme Court in Union of India Vs. Intercontinental Consultants and Technocrats Pvt. Ltd. – 2018 (10) GSTL 401 (SC). In respect of the demand with regard to alleged wrong availment of CENVAT credit of services used for non-taxable output service, he relies on the following case laws:-
a. Commissioner of Central Excise Vs. Narmada Chematur Pharmaceuticals Ltd. – 2005 (179) ELT 276 (SC)
b. Commissioner of Central Excise Vs. Narayan Polyplast – 2005 (179

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In Re: M/s. Edutest Solutions Private Limited (Previously known as Confisec Private Limited)

In Re: M/s. Edutest Solutions Private Limited (Previously known as Confisec Private Limited)
GST
2018 (10) TMI 201 – AUTHORITY FOR ADVANCE RULING, GUJARAT – 2018 (18) G. S. T. L. 77 (A. A. R. – GST
AUTHORITY FOR ADVANCE RULING, GUJARAT – AAR
Dated:- 23-8-2018
GUJ/GAAR/R/2018/16 In Application No. AAR/SGST & CGST/2017/AR/34
GST
SHRI R.B. MANKODI AND G.C. JAIN MEMBER
Present for the Applicant: Shri Priyam R. Shah
The applicant M/s. Edutest Solutions Private Limited (previously known as Confisec Private Limited) is engaged in business of confidential printing of educational test papers, which requires team of highly experienced and talented persons and maintenance of top secrecy, accuracy and timely delivery of the material is essential part of work. The applicant is doing printing of educational test papers for Secondary and Higher Secondary Education Boards of various states and also at the national level and for various education institutes.
2. The applicant su

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s per Chapter Heading 4901, Printing of Books attracts no GST since they have been given exemption in view of their contribution to the betterment of society through the field of education, applicant's work is also part of the same objective. It is submitted that since exemption is given for printing of books, printing of question papers should also be exempted. The applicant has submitted that the printing of question paper is of secret / confidential nature therefore it should attract Nil rate / exempt from tax, otherwise disclosure of name of customer / buyer in Tax Invoice and providing details in GSTR 1 in certain cases would be contradictory to secrecy clause of agreement.
4. The applicant, vide letter dated 05.02.2018 further submitted that Sr. No, 66 of Notification No. 12/2017-CentraI Tax (Rate) dated 28.06.2017 (tax free services) refers to Heading 9992 – Educational services, which includes pre-primary education services, primary education services, secondary education serv

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or advance ruling –
(i) Whether activity of printing of question papers on behalf of educational institutions can be classified as activity of supply of goods or supply of services.
(ii) If it is supply of services, referring to Sr. No. 27 of Notification 11/2017-CTR dtd : 28.06.2017 as amended by Notification 31/2017-CTR dtd.: 13.10.2017, then benefit of Sr. No. 66 of Notification 12/2017-CTR dtd.. 28.06.2017 is allowable, as amended by Notification No. 2/2017-CTR of 25.01.2018; or
(iii) If it is supply of goods, then question paper printing should be treated as exempted goods at Sr. No. 1 19 of exempted list liable at Nil rate of tax under Chapter heading / subheading of 4901 10 10 of “Printed books including Braille books”, or
It should be covered by Schedule I at Sr. No. 201 liable to tax at 2.5% under “Brochures, leaflets and similar printed matter, whether or not in single sheets”.
7.1 The Central Goods and Services Tax and Central Excise Commissionerate, Ahmedabad North

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ring and views of the Central Goods and Services Tax and Central Excise Commissionerate, Ahmedabad North.
9. The first issue to be decided in this case is whether activity of printing of test papers / question papers by the applicant for its clients (Secondary and Higher Secondary Education Boards of various states, other educational institutes and others) should be treated as supply of goods or supply of service.
10.1 The Government of India, Ministry of Finance, Department of Revenue, Tax Research Unit, vide Circular No. 11/11/2017-GST dated 20, 10.2017, has issued clarification on taxability of printing contracts, as follows-
2. In the above context, it is clarified that supply of books, pamphlets, brochures, envelopes, annual reports, leaflets, cartons, boxes etc. printed with logo, design, name, address or other contents supplied by the recipient of such printed goods, are composite supplies and the question, whether such supplies constitute supply of goods or services would be

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oards / Educational Institutes. The scope of work of the applicant relates to compose, typeset, print, pack, transport, unload and supply sealed Question Papers to the Education Board / Educational Institutes.
10.3 As the usage rights of the manuscript material of Question Papers (intangible inputs) are owned by the Education Boards / Educational Institutes and the physical inputs used for printing belong to the applicant, supply of printing is the principal supply in this case and the same would constitute supply of service falling under heading 9989 of the scheme of classification of services.
11. The next issue which arises for consideration is applicability of Sr. No. 66 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017, as amended, or Sr. No. 27 of Notification No. 11/2017-CentraI Tax (Rate) dated 28.06.2017, as amended, (and corresponding Notifications issued under the Gujarat Goods and Services Tax Act, 2017) to the aforesaid supply of service.
12.1 Sr. No. 66 o

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alent.
NIL
NIL
12.2 The said Sr. No. 66 of Notification No. 12/2017-CentraI Tax (Rate) dated 28.06.2017 has been amended vide clause (o) of Notification No. 2/2018-CentraI Tax (Rate) dated After such amendment, the said Sr. No. 66 of Notification No. 12/2017-Central Tax (Rate) reads as follows –
(1)
(2)
(3)
(4)
(5)
Sl. No.
Chapter, Section, Heading, Group or Service Code (Tariff)
Description of Services
Rate (per cent.)
Conditions
66
Heading 9992
Services provided –
(a) by an educational institution to its students, faculty and staff;
(aa) by an educational institution by way of conduct of entrance examination against consideration in the form of entrance fee;]
(b) to an educational institution, by way of,-
(i) transportation of students, faculty and staff;
(ii) catering, including any mid-day meals scheme sponsored by the Central Government, State Government or Union territory;
(iii) security or cleaning or housekeeping services performed in such educationa

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igher secondary school or equivalent;
(ii) education as a part of a curriculum for obtaining a qualification recognised by any law for the time being in force;
(iii) education as a part of an approved vocational education course;
13.1 Thus, as per Sr. No. 66(b)(iv) of Notification No. 12/2017-Centra1 Tax (Rate), as amended, 'services provided to an educational institution, by way of services relating to admission to, or conduct of examination by, such institution' is exempted from payment of Goods and Services Tax.
13.2 In the sub-item (iv) of item (b) of Sr. No. 66 of Notification No. 12/2017-Central Tax (Rate), as amended, the phrase used is 'services relating to admission to, or conduct of examination by, such institution'. Hon'ble High Court of Bombay, in the cate of Coca Cola India Pvt. Ltd. vs. Commissioner of Central Excise, Pune-III [2009 (242) E.L.T. 168 (Bom.)] = 2009 (8) TMI 50 – BOMBAY HIGH COURT, has held that the phrase 'relating to' widens the scope and observed a

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15 – ALLAHABAD HIGH COURT, and 76 Corpus Juris Secundum 621. Assuming that the investments in shares and in lands do not form part of the undertakings but are different subject matters, even then these would be brought within the purview of the vesting by reason of the above expressions. In this connection reference may be made to 76 Corpus Juris Secundum at pages 620 and 621 where it is stated that the term relate is also defined as meaning to bring into association or connection with. It has been clearly mentioned that relating to has been held to be equivalent to or synonymous with as to concerning with and pertaining to. The expression pertaining to is an expression of expansion and not of contraction.
The expression Relating to thus widens the scope of the definition.”
Therefore, the expression 'relating to' used in sub-item (iv) of item (b) of Sr. No. 66 of Notification No. 12/2017-Central Tax (Rate) widens the scope of the said entry and printing of question papers would be

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such institutions would be covered by Sr. No. 66 of Notification No. 12/2012-Central Tax (Rate), as amended.
13.5 As defined in clause (y) of Paragraph 2 of Notification No. 12/2017-Central Tax (Rate) 'educational institution' means an institution providing services by way of education (pre-school education and education up to higher secondary school or equivalent, education as a part of a curriculum for obtaining a qualification recognized by any law for the time being in force, or education as a part of an approved vocational education course). The benefit of Sr. No. 66 of Notification No. 12/2012-Central Tax (Rate) is admissible only in a case where service is provided to an educational institution.
14.1 Sr. No. 27 of Notification No. 11/2017-CentraI Tax (Rate) dated 28.06.2017 has been amended vide Notification No. 20/2017-Centra1 Tax (Rate) dated 22.08.2017 and 31/2017-Central Tax (Rate) dated 13.10.2017. After such amendment, the said Sr. No. 27 of Notification No. 11/2017-Cent

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RULING
(i) The activity of printing of question papers by M/s. Edutest Solutions Private Limited (GSTIN 24AAGCC5475Q2Z1) is activity of supply of service classifiable under heading 9989 of the scheme of classification of services.
(ii) The service provided by M/s. Edutest Solutions Private Limited (GSTIN 24AAGCC5475Q2Z1) to educational institutions by way of printing of question papers for conduct of examination by such institutions would be covered by Sr. No. 66 of Notification No. 12/2012-Central Tax (Rate), as amended and Notification No. 12/2012-State Tax (Rate), as amended.
The service provided by M/s. Edutest Solutions Private Limited (GSTIN 24AAGCC5475Q2Z1) to service recipients other than educational institutions by way of printing of question papers would be covered by Sr.No. 27(i) of Notification No: 11/20.17-Central Tax (Rate), as-amended, and Notification No. 11/2017-State Tax (Rate), as amended.
(iii) As the activity of printing of question papers by M/s. Edutest Solut

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In Re: M/s. Omnisoft Technologies Private Limited

In Re: M/s. Omnisoft Technologies Private Limited
GST
2018 (10) TMI 301 – AUTHORITY FOR ADVANCE RULING, GUJARAT – 2018 (18) G. S. T. L. 144 (A. A. R. – GST)
AUTHORITY FOR ADVANCE RULING, GUJARAT – AAR
Dated:- 23-8-2018
GUJ/GAAR/R/2018/15 (IN APPLICATION NO. Advance Ruling/SGST&CGST/2017-18/AR/24)
GST
R.B. MANKODI AND G.C. JAIN, MEMBER
Present for the applicant : Shri Dhruvank Parikh, CA
The applicant M/s. Omnisoft Technologies Pvt. Ltd. (OTPL) is engaged in IT business and education sector, with thrust on the franchisee model. The applicant has submitted that in the non-IT field, it has ventured in diverse segments, which has also lead to overall skill development of children involved in the said field. It is submitted that with products like UC-MAS, UC-DinoArt, and UC-MLS from UCMAS Education Group Malaysia, the applicant has ensured that with the medium of using tools like ABACUS, Arts, Various Memory enhancing Techniques (like mental mapping, mnemonics, etc.)

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ion. They need to practice for about 30 minutes daily when they are home for the next 6 days.
2.2 It is submitted that UCMAS is a child development program based on Visual Arithmetic and Abacus that boosts brainpower in children aged 4-13 years. Along with strengthening math skills, the UCMAS approach promotes whole brain development and establishes foundational building blocks like memory, concentration, creativity and problem solving – core skills that inspire greater confidence and success in all subject areas and in life. The program equips them with the skills they need to improve overall academic achievement and to confidently meet life's challenges and achieve greatness. It is submitted that UCMAS is much more than developing number skills. Using Math as a medium and Abacus as a tool, this program helps developing basic cognitive skills and cognitive Executive Functions of a child. Cognitive skills are the core skills that the brain uses to think, read, learn, remember, reason,

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s as a teaching tool. By learning to perform mental calculations quickly and accurately, students aged 4-13 expand their mental capacity and develop skills such as multitasking, time management, memory, concentration and problem solving – skills that are crucial to success in all areas of study and in daily life. It is submitted that UCMAS not only leads to greater student proficiency and confidence in mathematics; it also builds the framework for children to develop fundamental learning skills essential to actively succeed in school and in every avenue of their daily life. UCMAS applies innovative pedagogical techniques developed by program specialists that include child development experts and child psychologists to leverage educational trends and to maintain a worldclass quality program that deliver the maximum benefit to the students. With the exciting classes and energetic instructors, the Company ensures that its students have fun as they learn.
3. The applicant has raised the f

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en the services are supplied in the course of inter-state supply of the said services for determining the rate of Integrated Tax applicable to the said services.
4.2 It is submitted that Entry No. 80 containing Heading 9996 in Notification No. 12/2017-Central Tax (Rate) dated 28th June, 2017 issued by the Central Government exempts the levy of Central Tax on the Intra-State Supply of Services by way of Training or Coaching in Recreation Activities relating to:
(a) Arts or culture, or
(b) Sports by Charitable Entities registered under Section 12AA of the Income Tax Act.
The levy of State Tax on the above mentioned supply of services is Exempted by the Government of Gujarat vide Notification No. 12/2017-State Tax (Rate) dated 30th June, 2017 and similarly, the supply of said services mentioned herein above in the course of inter-state transaction is exempted vide Entry No. 83 containing Heading 9996 in Notification No. 09/2017-Integrated Tax (Rate) dated 28th June, 2017.
4.3 The app

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and problem solving – core skills that inspire greater confidence and success in life. Therefore, if certain specialized training is provided to make career in a particular field, and also the course involves specific certification from the institute rendering such training, then the facilitation of such education falls under the ambit of Recreation and development through various unique techniques (can also be referred as an 'Art of Development of Mind'). To elaborate further, it is submitted that UCMAS approach doesn't impart training in a way suiting a particular field like a person undergoing training in cricket to improve his skills to enable him to participate in various levels of tournaments. The ABACUS training program imparted by the applicant under UCMAS approach is mainly to create interest in students for more advance form of mathematics so as to enhance their thinking capacity and mental development.
4.6 The applicant submitted that the entire thing is done by employing m

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g mathematics and mathematical concepts. Under UCMAS, the applicant applies various methods to make learning of arithmetical skills enjoyable.
4.8 It is further submitted that Abacus taught under UCMAS which is a recreational activity relates to an 'art. ''Art' has again not been defined in the GST Act. ABACUS under UCMAS is not merely a method to improve the speed and accuracy of calculations but it is also an activity wherein the children undergoing training are developed with the other aspects of the mind. When the children have acquired an astonishing calculation speed, it is actually only the end result of having developed the mental capabilities interalia including concentration, observation, visualization, imagination and memory. Concentration is the concentrated and dedicated attention towards a particular matter with clear reflection that creates a deep image and mental impression. An enhanced concentration leads to a better absorption power. Studying will then be a joyful th

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brain would not stay long, but an image that is recorded in the right brain would stay on in the mind forever. By stimulating the right brain with mental arithmetic, and in combination with the alertness of the eyes, ears and hands, the ability to store and recall develops together.
4.9 From the above, the applicant submitted that Training Activity performed by the company under UCMAS using Abacus is a recreational activity relating to an art and thereby exempt from GST. Hence, the applicant is exempted under GST as per the above explanation and above quoted Notifications under the GST Act. Therefore, the applicant requested for advance ruling in the interest of deciding a common rate of Taxation for both the applicant as well as other subordinate Franchises in the GST Regime.
5.1 In the additional written submission, the applicant referred to Notification No. 9/2003-Service Tax dated 20.06.2003 and Notification No. 24/2004-Service Tax dated 10.09.2004. It is also submitted th

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on of the Government in the Notifications existing / prevailing in the current context seems similar considering the fact that the explanations to the earlier notifications being existed prior to introduction of negative list reflected the intention of the Government to provide exemption to commercial coaching institutes being qualified as recreational one and the meaning thereof according to government was clarified by way of an explanation in the said notifications to mean a commercial coaching or training center which provides training or coaching relating to recreational activities such as dance, singing, martial arts or hobbies.
5.3 The applicant submitted that the usage of the word 'art' in the prevailing regime should not hinder the benefit as envisaged by the Government and hence the activity of the applicant of teaching under UCMAS using Maths as medium and Abacus as a tool should get exemption in the interest of lakh of students undergoing / intending to undergo the training

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t is commonly used to describe something of beauty, or a skill which produces an aesthetic result.
6.3 It has been opined by the Vadodara – I Commissionerate that the activity performed by the applicant is a form of education imparted to the children to develop their interest and skills in mathematics and hence it is an education support service. It is submitted that it is not a system purely based on 'abacus', which is used to teach counting numbers to the children of pre-primary education, because the age group of children which are imparted education by the applicant are from 4-13 year and this range cannot belong to children of pre-primary schooling.
6.4 It has been further informed that the 'Educational Support Service' is classified under SAC 999294. It is submitted that the section 2(y) of the Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 defines the 'educational institution and that private coaching centers or other unrecognized institutions, self-styled as edu

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. No. 83 of Notification No. 9/2017-Integrated Tax (Rate) issued under the Integrated Goods and Services Tax Act, 2017 (herein after referred to as the 'IGST Act, 2017') to the supply of services being made by the applicant.
9.1The said Sl. No. 80 of Notification No. 12/2017-Central Tax (Rate) reads as follows :-
Sl.No.
Chapter, Section, Heading, Group or Service Code (Tariff)
Description of Services
Rate (per cent.)
Condition
80
9996
Services by way of training or coaching in recreational activities relating to-
(a) arts or culture, or
(b) sports by charitable entities registered under section 12AA of the Income-tax Act.
Nil
Nil
Thus, as per Sl. No. 80 of Notification No. 12/2017-Central Tax (Rate) exempts services by way of training or coaching in recreational activities relating to arts or culture or sports. (In case of training or coaching in recreational activities relating to sports, exemption is admissible only when such services are by charitable entities registe

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of services prescribed vide Notification No. 11/2017-Central Tax (Rate) dated 28.06.2017, which are reproduced below.
Heading & Group
Service Code (Tariff)
Service Description
Heading No.9996

Recreational, cultural and sporting services
Group 99961

Audiovisual and related services

………
Group 99962

Performing arts and other live entertainment event presentation and promotion services

999621
Performing arts event promotion and organization services

999622
Performing arts event production and presentation services

999623
Performing arts facility operation services

999629
Other performing arts and live entertainment services n.e.c.
Group 99963

Services of performing and other artists

999631
Services of performing artists including actors, readers, musicians, singers, dancers, TV personalities, independent models etc

999632
Services of authors, composers, scu

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ng Musical, Visual and specialized effects does not make the activities of the applicant as the training or coaching in recreational activities.
11. The decisions of Hon'ble CESTAT referred to by the applicant pertain to Notification No. 9/2003-Service Tax and 24/2004-Service Tax issued under the Finance Act, 1994 (Service Tax), which are not pari-materia to Sr. 80 of Notification No. 12/2017-Central Tax (Rate). Further, against the decision of Hon'ble CESTAT in the case of Abacus Brain Study (P) Ltd. (supra), Civil Appeal Nos. 2558-2559 of 2012 have been filed in the Hon'ble Supreme Court, which are pending. As held by the Hon'ble Supreme Court in the case of Union of India Vs. West Coast Paper Mills Ltd. [2004 (164) E.L.T. 375 (S.C.)] = 2004 (2) TMI 344 – SUPREME COURT OF INDIA, once an appeal is filed before the Hon'ble Supreme Court and the same is entertained, the judgment of the High Court or the Tribunal is in jeopardy. The same view was held by the Hon'ble CESTAT in the case o

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Seeks to extend the due date for filing of FORM GSTR-3B for the month of July, 2018.

Seeks to extend the due date for filing of FORM GSTR-3B for the month of July, 2018.
F. No. 3240/CTD/GST/2018/07 Dated:- 23-8-2018 Puducherry SGST
GST – States
Puducherry SGST
Puducherry SGST
GOVERNMENT OF PUDUCHERRY
COMMERCIAL TAXES DEPARTMENT
F. No. 3240/CTD/GST/2018/7.
Puducherry, dated 23rd August 2018.
NOTIFICATION
In exercise of the powers conferred by sub-rule (5) of rule 61 of the Puducherry Goods and Services Tax Rules, 2017 (hereafter in this notification referred t

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GST on Service provided to Foreign Company in India

GST on Service provided to Foreign Company in India
Query (Issue) Started By: – Rahul Gawande Dated:- 22-8-2018 Last Reply Date:- 27-8-2018 Goods and Services Tax – GST
Got 4 Replies
GST
Hello,
I am IT Service provider. We provided service to a client of foreign company in India. We have to bill to foreign company who do not have any office in India. How do I bill them? Do I have to add GST, if so at what rate? They will be transferring payment in USD to our bank account. Do I have to pay any Currency Conversion charges to bank? If yes & what rate?
Please help.
Reply By Rajagopalan Ranganathan:
The Reply:
Sir,
You are providing the service to the client of foreign company who is located in India. The service is provided

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RUMORS ON GST ON EXTRA NEUTRAL ALCOHOL IMPACT CAPITAL MARKET

RUMORS ON GST ON EXTRA NEUTRAL ALCOHOL IMPACT CAPITAL MARKET
By: – Dr. Sanjiv Agarwal
Goods and Services Tax – GST
Dated:- 22-8-2018

During FY 2017-18, the industry witnessed highway sales bans, demonetization, GST, route-to-market changes in UP, West Bengal and Chhattisgarh. The alcoholic beverages industry in India is heavily regulated, with excise and other taxes forming an important source of revenue for state governments.
The rumors or expectations of inclusions and exclusions from Goods and Services Tax (GST) net have its toll on stock market prices of liquor manufacturing companies. And it work both ways to raise or lower the stock market prices of these companies. This was witnessed recently in stock market behavio

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d alcohol which is a major input used for production of potable alcohol meant for human consumption with 90 percent usage. An inclusion of ENA in GST would mean that profitability of all alco-beverages companies would take a hit. The overhang of possible inclusion of extra neutral alcohol within the ambit of the goods and services tax (GST) remains, and the potential impact from this could knock off 10% to 15% from EBITDA (operating profit before tax). However, while centre is keen to impose this levy, many states are opposed to it as they feel that to tax it is their right. Currently, states levy VAT on ENA.
ENA is a derivative of sugarcane molasses and used in a number of industries, from cosmetics to alcoholic beverages. Almost 80 per c

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y not suffice for sustained premiumisation in the event of pullback.
How does it impact share prices can be understood from stock market trends. For example, the share price of United Spirits declined upto 4 percent 2-3 days before GST Council meeting on speculation that Extra Neutral Alcohol may be brought under the GST ambit which will adversely impact profitability of alco- beverages segment. Going further, the prices witnessed a decline of upto 15 percent in one month prior to July meeting of GST Council. Same could be seen for Radico Khaitan Ltd., another major player and others.
Recently, a company sought Advance Ruling on this issue but the Authority for Advance Ruling declined to issue any ruling or opinion stating that GST Counci

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TRANS-1 CREDIT

TRANS-1 CREDIT
Query (Issue) Started By: – SURYAKANT MITHBAVKAR Dated:- 22-8-2018 Last Reply Date:- 25-8-2018 Goods and Services Tax – GST
Got 2 Replies
GST
We have entered all traded Goods stock in 7A column under Trans-1 and avail the credit. While verifying the concern officer they insists to fill all data in 7B instead of 7A.
How we will rectify the same ?
Reply By ANITA BHADRA:
The Reply:
Amendment in Tran-1 can be made only on case to case basis, where on an application mad

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