EXPORT & REFUND

Goods and Services Tax – Started By: – PAWAN GUPTA – Dated:- 4-11-2017 Last Replied Date:- 6-11-2017 – Dear ExpertWe have a query please give your valuable advice / guide line .We have LUT and export goods without payment of IGST. My query is what is the procedure for submission of proof of export in GST regime? please give reference of rule/Act. As In previous Excise Law we used to submit Annexure-19 for submission of POE.Thanks in Advance – Reply By MARIAPPAN GOVINDARAJAN – The Reply = In thi

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Refunds – balance in E Ledger

Goods and Services Tax – Started By: – S RAMAN – Dated:- 4-11-2017 Last Replied Date:- 13-11-2017 – We are paying 28% for our rawmaterials. GST for finished products is only 18% and there is credit in electronic ledger. What we need to know whether we have to apply for refund – if so when ? – Reply By MARIAPPAN GOVINDARAJAN – The Reply = In my view in your case no refund is possible. – Reply By Rajagopalan Ranganathan – The Reply = Sir, According to Section 54 (3) (ii) of CGST Act, 2017 Subject to provisions of Section 54 (10) of CGST Act, 2017 a registered person may claim refund of any unutilised input tax credit at the end of any tax period where the credit has accumulated on account of rate of tax on inputs being higher than the rate o

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e supply of goods and services. In these sub-sections so many 'ifs' and 'buts' are involved. In real sense or practically not permitted. One has to read sub sections word for word along with ITC notification issued originally in order to arrive at correct decision. Whatever you have depicted in your query, on that basis refund is not admissible. – Reply By Ramaswamy S – The Reply = Refund is allowed. Please refer to second proviso to Section 54(3) of the CGST Act It says refund of unutilised input tax credit is allowed under the following situations: 1. Zero rated supplies made without payment of tax 2. where the credit accumulated on account of rate of tax on inputs being higher than the rate of tax on output supplies (othe

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GST – Frequently Asked Question

Goods and Services Tax – GST – Dated:- 4-11-2017 – Q. Till when can I avail the option of composition under the increased threshold? Ans. The facility of availing composition under the increased threshold shall be available to both migrated and new taxpayers up to 31.03.2018. The option once exercised shall become operational from the first day of the month immediately succeeding the month in which the option to avail the composition scheme is exercised. Q. How will I file returns if I avail the option of composition in the middle of a quarter? Ans. New entrants to this scheme shall have to file the return in FORM GSTR-4 only for that portion of the quarter from when the scheme becomes operational and shall file returns as a normal taxpaye

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GST to improve India's biz ranking further: PM

GST to improve India s biz ranking further: PM – Goods and Services Tax – GST – Dated:- 4-11-2017 – New Delhi, Nov 4 (PTI) Prime Minister Narendra Modi today exuded confidence that India's ease of doing business ranking will further improve next year when the impact of GST – the biggest tax reform – is taken into account. Modi said India has in three years jumped 42 places to break into top 100 countries on World Bank's ease of doing business ranking. This ranking takes into account reforms initiated only till May-end and does not reflect the impact of the Goods and Services Tax (GST), which was implemented from July 1, he said. The GST has not just integrated the nation of 1.2 billion into one market with one tax rate but also prov

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Puducherry CM plea to Centre on GST

Goods and Services Tax – GST – Dated:- 3-11-2017 – Puducherry, Nov 3 (PTI) Puducherry Chief Minister V Narayanasamy today urged the Centre to ensure that GST does not cause hardships to the poor and farmers and said more the tax more would be the evasion. Tax should be practical to avoid tax evasion, he said, inaugurating a one-day summit of Human Resources Personnel organised by the Puducherry unit of Confederation of Indian Industry (CII) here. The imposition of exorbitant rate of GST on medicines, textiles, tractors and other commodities used by the common man was a step in the wrong direction, he added. The chief minister said as a member of the GST Council he had registered his strong protest at its earlier meetings and urged the Unio

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PAID CGST BY MISTAKE IN CASH, LIABILITY IS ONLY IGST, CAN THE CASH BALANCE OF CGST BE USED WITH THERE IS CREDIT IN CGST?

Goods and Services Tax – Started By: – Richa Goyal – Dated:- 3-11-2017 Last Replied Date:- 7-11-2017 – We have wrongly paid CGST and SGST in cash. The liability is only IGST and there is enough credit balance in CGST and SGST. Can the cash balance of CGST and SGCT be used to make the payment of IGST?.. Kindly guide. – Reply By raj kumar shukla – The Reply = No GSTN does not permit such adjustment. IGST will have to be paid. refund of cgst/sgst should be sought. – Reply By KASTURI SETHI – The Reply = In my view answer is NO. – Reply By Ganeshan Kalyani – The Reply = Cross utilisation of credit is not permissible in GST network. The input credit of CGST against IGST and vice versa is allowed but not the tax paid by cash. – Reply By MARIAPPAN

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WHAT ABOUT TIME LIMIT FOR GST RETURN FOR OCT,NOV,DEC

Goods and Services Tax – Started By: – VIJAY NANDANIYA – Dated:- 3-11-2017 Last Replied Date:- 14-11-2017 – GOOD MORNING SIRWE HAVE ONE QUERY FOR FILLING RETURN FOR THE MONTH OCT,NOV,DEC-2017REGARDING MONTHLY FILLING OF QUARTERLY FILLINGFOR T/O LESS THEN ₹ 1.5 CRPLS GUIDE US – Reply By KASTURI SETHI – The Reply = Quarterly return for October, Nov. & Dec.17 may be 15.1.18. However, monthly return GSTR 3 B is to be filed every following month by 20 th. So date of Quarterly return may al

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WORKS CONTRACTS UNDER GST

Goods and Services Tax – GST – By: – Srikantha RaoT – Dated:- 3-11-2017 – Taxation of works contracts has been a vexed issue in India over the years leading to considerable litigation. The main reason for this has been tax jurisdiction being split between Union and States with Services being taxed by the former while goods (transfer or sale thereof) were being taxed by the latter. With works contracts being composite supply contracts involving elements of goods as well as services, identification of the amount which should suffer tax under each of the concerned jurisdictions was always an issue. This was also complicated by the fact that various States had come out deeming provisions in terms of valuation under which specific categories of works contracts could be artificially split in terms of value to identify amount to be subjected to VAT at their end where value of goods and services could not be ascertained from books individually. These deeming rates were also at variance with d

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time of introduction of the new GST law if old trends in terms of litigation had to be stopped. GST introduced across the country with effect from 1st July 2017 has sought to address the problem. While one reason for the old problem in terms of tax jurisdiction has been taken care of due to goods and services now being taxed by both Union as well as States, the other significant point has been the idea of restricting operation of the concept of works contracts to immovable property related contracts alone. A reference to Section 2(119) of Central Goods & Services Tax Act (CGST) Act 2017 would reveal that works contract would mean a contract for building, construction, fabrication, completion, erection, installation, fitting out, improvement, modification, repair, maintenance, renovation, alteration or commissioning of any immovable property wherein transfer of property in goods (whether as goods or in some other form) is involved in the execution of such contract. This would take

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1153 – SUPREME COURT ): – Cantilever assembly which comes into existence at the point of assembly of iron tubes of specified length in a cantilever design at a fixed place on the pole results from works contract and is not goods but a construction design. Beams, girders, bracket etc. become cantilever or cantilever assembly when fixed in a particular manner as a part of construction. Upon fixing on the iron mast/pole, this assembly becomes part of a permanent structure and cannot be called goods, as they cannot be moved about like any goods. They become part of immovable property. Triveni Engineering & Industries Ltd Vs CCE Nagpur (2000 (8) TMI 86 Supreme Court of India): – Installation or erection of turbo alternator on the concrete base specially constructed on the land when its removal resulted in separation of steam turbine and alternator (components of turbo alternator), meant that installation or erection of turbo alternator on the platform constructed on the land would be im

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MI 107 Supreme Court of India): – Spray paint booth held to be immovable property as outside portions of the structure were embedded in earth and dismantling would result in damage to structure. Virdi Brothers Vs CCE Indore (2001 (5) TMI 918 CEGAT New Delhi) affirmed in (2006 (12) TMI 3 Supreme Court of India): – Refrigeration/cold storage plant held to be immovable property as various bought out machineries were permanently fixed to the building by concrete foundation and they formed the refrigeration plant along with the building wherein they were affixed. Some of the parts of machineries and pipes fixed therein could not be separately taken as refrigeration plant. While we have looked at some of the decisions in the context of movability or immovability of goods, the way in which contracts are executed would also be relevant as it would alter tax impact under GST. This is owing to the fact that composite contracts/supplies in the nature of works contracts have been deemed to be serv

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ering the rates applicable to goods based on their HSN Codes while service element would be taxed separately. Whether or not a contract would be composite works contracts or one of supply or installation would have to be gauged based on facts and circumstances of each case including the terms of the contract i.e. especially nature of property involved as well as timing of transfer of ownership/title in goods. This is where due care is needed as any error in classification could result in substantial demand for the tax payer at a later date. The classification issue would also be complicated by the fact that the peak rate as well as slab rates for services and goods respectively are not the same under GST. We could now look at some of the past judicial precedents in India which would help us in understanding the difference between a contract for sale of goods and one for work and labour also involving transfer of property in goods meriting classification as a works contract. Contract fo

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a contract for labour and service. But, a composite contract for supply and installation, has to be treated as a works contract, for it is not a sale of goods/chattel as such. It is not chattel sold as chattel or, for that matter, a chattel being attached to another chattel. Therefore, it would not be appropriate to term it as a contract for sale on the grounds that the components are brought to the site, i.e., building, and prepared for delivery. (M/s Kone Elevator India Pvt. Ltd Vs State of Tamil Nadu & Others (2014 (5) TMI 265 Supreme Court)) Supply, installation, testing and commissioning of power supply, distribution and SCADA system for Delhi Metro Rail – Provision of transformers, switchgears, high voltage cables by sourcing them from vendors designated in agreement and approved by customer and as per specifications and quantities in Bill of Goods in Bid Document can be said to be supply in relation to works contract execution as there is a clear conceivable link between co

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Court)) Fabrication of rolling shutters involving installation – Fabrication of rolling shutters held to be works contract as rolling shutters came into being when affixed to walls post masonry work. Where the contract is primarily one for supply of materials at a price agreed to between the parties for the materials so supplied and the work or service rendered is incidental to the execution of the contract the contract is one for sale of materials. Where the materials sought under contract have no separate identity as a commercial article and it is only by bestowing work and labour upon them, (as for example, by affixing them to the building in case of window-leaves or wooden doors and windows) that they acquire commercial identity, it would be prima facie indicative of a works contract. So also where certain materials are not merely supplied but fixed to an immovable property so as to become a permanent fixture and an accretion to the said property, the contract prima facie would be

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India)). One of the issues that is likely to continue under GST is the legal position to be adopted where part of the work is sub-contracted. There have been instances where the Honorable Supreme Court has taken the view that the principal contractor would not be liable on the portion of work undertaken by the sub-contractor even if there is no privity of contract between contractee and the sub-contractor. This is on account of the fact that the property in goods passes by way of accretion to the contractee which would mean there being no deemed sale/transfer from sub-contractor to principal contractor. This view has been followed in State of Andhra Pradesh & Others Vs Larsen & Toubro & Others (2008 (8) TMI 21 Supreme Court) as well as in Larsen & Toubro Limited Vs Additional DCCT & Another (2016 (9) TMI 519 Supreme Court) with both decisions being based on decision of the Supreme Court in Builders Association of India & Others Vs UOI & Others (1989 (3) TMI

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ould have to be followed by issue of receipt vouchers u/s 31(3)(d). As far as construction related services are concerned readers may note that there are two clauses in Schedule II to CGST Act 2017 to be read in conjunction with Section 7(1)(d) of the Act. These are clauses 5(b) and 6(a) which would cover pure labour services and works contracts respectively. Clause 5 of Schedule III to be read in conjunction with Section 7(2)(a) deals with sale of land and building (other than those involving construction related service under agreement with customer). Lease, tenancy, easement or license to occupy land or rental of buildings has been covered under clause 2 of Schedule II meaning these would be within concept of supply attracting GST. This is in contrast to the view that dealing in rights pertaining to immovable property would also be akin to a transaction in immovable property itself (Salmond on Jurisprudence (12th Edition by P.J Fitzgerald)). This would bring into question the issue

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Extension of time limit for FORM GST ITC-04.

Extension of time limit for FORM GST ITC-04. – GST – States – 19/2017 – Dated:- 3-11-2017 – GOVERNMENT OF NAGALAND OFFICE OF THE COMMISSIONER OF STATE TAXES NAGALAND: DIMAPUR Dated Dimapur, the 03rd November, 2017 NOTIFICATION- 19/2017 NO.CT/LEG/GST-NT/12/17: In pursuance of section 168 of the Nagaland Goods and Services Tax Act, 2017 (4 of 2017) and sub-rule (3) of rule 45 of the Nagaland Goods and Services Tax Rules, 2017, the Commissioner, hereby extends the time limit for making the declarat

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Extension of time limit for GSTR 2 & 3 for July (Amendment in NO.CT/LEG/GST-NT/12/17-(Notification-12/2017) dated 11th Sept,2017).

Extension of time limit for GSTR 2 & 3 for July (Amendment in NO.CT/LEG/GST-NT/12/17-(Notification-12/2017) dated 11th Sept,2017). – GST – States – 20/2017 – Dated:- 3-11-2017 – GOVERNMENT OF NAGALAND OFFICE OF THE COMMISSIONER OF STATE TAXES NAGALAND: DIMAPUR Dated Dimapur, the 03rd November, 2017 NOTIFICATION- 20/2017 NO.CT/LEG/GST-NT/12/17: ln exercise of the powers conferred by the first proviso to sub-section (2) of section 38 and sub-section (6) of section 39 read with section 168 of the N

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Extension of time for declaration in FORM GST ITC-01(Amdnmdnet in NO.CT/LEG/GST-NT/12/17-(Notification-18/2017) dated 16th Oct,2017).

Extension of time for declaration in FORM GST ITC-01(Amdnmdnet in NO.CT/LEG/GST-NT/12/17-(Notification-18/2017) dated 16th Oct,2017). – GST – States – 21/2017 – Dated:- 3-11-2017 – GOVERNMENT OF NAGALAND OFFICE OF THE COMMISSIONER OF STATE TAXES NAGALAND: DIMAPUR Dated Dimapur, 03rd the November, 2017 NOTIFICATION- 21/2017 NO.CT/LEG/GST-NT/12/17: In pursuance of section 168 of the Nagaland Goods and Services Tax Act, 2017 (4 of 2017) (hereafter referred to as the said Act) and clause (b) of sub-

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Extension of time limit for intimation of details of stock held on the date preceding the date from which the option for composition levy is exercised in FORM GST CMP-03

GST – States – 08/2017-GST – Dated:- 3-11-2017 – GOVERNMENT OF NAGALAND OFFICE OF THE COMMISSIONER OF STATE TAXES NAGALAND: DIMAPUR NO.CT/LEG/NGST-ORD/8/17 Dated, Dimapur the 3rd October, 2017 Order No. 08/2017-GST Subject: Extension of time limit for intimation of details of stock held on the date preceding the date from which the option for composition levy is exercised in FORM GST CMP-03 In exercise of the powers conferred by sub-rule (4) of rule 3 of the Nagaland Goods and Services Tax Rule

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Reduction of Goods and Services Tax rate of 2.5 per cent on Food preparations put up in unit containers and intended for free distribution to economically weaker sections of the society under a programme duly approved by the Central Government o

Reduction of Goods and Services Tax rate of 2.5 per cent on Food preparations put up in unit containers and intended for free distribution to economically weaker sections of the society under a programme duly approved by the Central Government or any State Government. – GST – States – G.O.MS.No. 494 – Dated:- 3-11-2017 – GOVERNMENT OF ANDHRA PRADESH REVENUE (COMMERCIAL TAXES-II) DEPARTMENT G.O.MS.No. 494 Dated: 03-11-2017 NOTIFICATION In exercise of the powers conferred by sub-section (1) of section 9 of the Andhra Pradesh Goods and Services Tax Act, 2017 (16 of 2017), the Government, on the recommendations of the Goods and Services Tax Council, hereby notifies the state tax rate of 2.5 per cent on intra-State supplies of goods, the descrip

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icate from an officer not below the rank of the Deputy Secretary to the Government of India or the Deputy Secretary to the State Government concerned to the effect that such food preparations have been distributed free to the economically weaker sections of the society under a programme duly approved by the Central Government or the State Government concerned, within a period of five months from the date of supply of such goods or within such further period as the jurisdictional Commissioner of the Central tax or Chief Commissioner of the State tax, as the case maybe, may allow in this regard. Explanation. – (1) In this notification, tariff item , sub-heading heading and Chapter shall mean respectively a tariff item, heading, sub-heading an

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Andhra Pradesh Goods and Services Tax (Tenth Amendment) Rules, 2017.

GST – States – G.O.Ms.No. 495 – Dated:- 3-11-2017 – REVENUE DEPARTMENT (COMMERCIAL TAXES-II) THE ANDHRA PRADESH GOODS AND SERVICES TAX ACT, 2017 (ACT NO. 16 OF 2017) – TENTH AMENDMENT TO APGST RULES. [G.O.Ms.No. 495, Revenue (Commercial Taxes-II), 03rd November, 2017.] NOTIFICATION In exercise of the powers conferred by section 164 of the Andhra Pradesh Goods and Services Tax Act, 2017 (16 of 2017), the Government hereby makes the following rules further to amend the Andhra Pradesh Goods and Services Tax Rules, 2017, issued in G.O.Ms.No.227, Revenue (CT-II) Dept., Dt.22-06-2017 as subsequently amended. (1) These rules may be called the Andhra Pradesh Goods and Services Tax (Tenth Amendment) Rules, 2017. (2) This Notification shall be deeme

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llowed by the Chief Commissioner, shall be inserted; (iii) in FORM GST RFD-01, (a) for Statement-2 , the following Statement shall be substituted, namely:- Statement- 2 [rule 89(2)(c)] Refund Type: Exports of services with payment of tax (Amount in Rs.) Sr.No. Invoice details Integrated tax Cess BRC/FIRC Integrated tax and cess involved in debit note, if any Integrated tax and cess involved in credit note, if any Net integrated tax and cess (6+7+10-11) No. Date Value Taxable value Amt. No. Date 1 2 3 4 5 6 7 8 9 10 11 12 ; (b) for Statement-4 , the following Statement shall be substituted, namely:- Statement-4 [rule 89(2)(d) and 89(2)(e)] Refund Type: On account of supplies made to SEZ unit or SEZ Developer (on payment of tax) (Amount in Rs

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Notifying Certain Supplies As Deemed Exports Under Section 147 Of The APGST Act, 2017.

GST – States – G.O.MS.No. 496 – Dated:- 3-11-2017 – REVENUE DEPARTMENT (Commercial Taxes II) [G.O.MS.No. 496, Revenue (Commercial Taxes-II), 3rd Novermber, 2017.] NOTIFICATION In exercise of the powers conferred by section 147 of the Andhra Pradesh Goods and services Tax Act, 2017 (16 of 2017), the Government, on the recommendations of the Goods and Services Tax Council, hereby notifies the supplies of goods listed in column (2) of the Table below as deemed exports, namely: 2. This Notification shall be deemed to have come into force with effect on and from 18th October 2017. Table S.No. Description of supply (1) (2) 1. Supply of goods by a registered person against Advance Authorization 2. Supply of capital goods by a registered person ag

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Notifying the Evidences required to be produced by the supplier of Deemed Export Supplies For Claiming Refund Under Rule 89 (20 (g) of The APGST Rules, 2017.

GST – States – G.O.MS.No. 497 – Dated:- 3-11-2017 – GOVERNMENT OF ANDHRA PRADESH REVENUE DEPARTMENT (Commercial Taxes. II) [G.O.Ms.No. 497, Revenue (Commercial Taxes-II), 3rd November, 2017.] NOTIFICATION In exercise of the powers conferred by clause (g) of sub-rule (2) of Rule 89 of the Andhra Pradesh Goods and Services Tax Rules, 2017 read with notification in Go.Ms.No.496, Revenue (CT-II) Dept., Dt.03-11-2017, the Government hereby notifies the following, as detailed in column (2) of the Table below, as evidences which are required to be produced by the supplier of deemed export supplies for claiming refund, namely:- This Notification shall be deemed to have come into force with effect on and from 18th October 2017. TABLE S.No. Evidence

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Extension of time limit for intimation of details of stock held on the date preceding the date from which the option for composition levy is exercised in FORM GST CMP-03

GST – States – 05/2017-GST – Dated:- 3-11-2017 – GOVERNMENT OF JHARKHAND COMMERCIAL TAXES DEPARTMENT File No. Va. Kar/GST/16/2017 – 4022 Ranchi, Dated-03-11-2017 Order No. 05/2017-GST Subject:- Extension of time limit for intimation of details of stock held on the date preceding the date from which the option for composition levy is exercised in FORM GST CMP-03 In exercise of the powers conferred by sub-rule (4) of rule 3 of the Jharkhand Goods and Services Tax Rules, 2017 read with section 168

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Extension of time limit for submitting application in FORM GST REG-26

GST – States – 06/2017-GST – Dated:- 3-11-2017 – GOVERNMENT OF JHARKHAND COMMERCIAL TAXES DEPARTMENT File No.-Va. Kar/GST/16/2017-4023 Ranchi, Dated-03-11-2017 Order No. 06/2017-GST Subject: Extension of time limit for submitting application in FORM GST REG-26 In exercise of the powers conferred by clause (b) of sub-rule (2) of rule 24 of the Jharkhand Goods and Services Tax Rules, 2017 read with section 168 of the Jharkhand Goods and Services Tax Act, 2017, the Commissioner, on the recommendat

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Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 117 of the Jharkhand Goods and Services Tax Rules, 2017

GST – States – 07/2017-GST – Dated:- 3-11-2017 – GOVERNMENT OF JHARKHAND COMMERCIAL TAXES DEPARTMENT File No.- Va. Kar/GST/16/2017-4024 Ranchi, Dated 03-11-2017 Order No.07/2017-GST Subject:- Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 117 of the Jharkhand Goods and Services Tax Rules, 2017 In exercise of the powers conferred by rule 117 of the Jharkhand Goods and Services Tax Rules, 2017 read with section 168 of the Jharkhand Goods and Services Tax Act,

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Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 120A of the Jharkhand Goods and Service Tax Rules, 2017

GST – States – 08/2017-GST – Dated:- 3-11-2017 – GOVERNMENT OF JHARKHAND COMMERCIAL TAXES DEPARTMENT File No.-Va. Kar/GST/16/2017-4025 Ranchi, Dated-03/11/2017 Order No. 08/2017-GST Subject: Extension of time limit for submitting the declaration in FORM GST TRAN-1 under rule 120A of the Jharkhand Goods and Service Tax Rules, 2017 In exercise of the powers conferred by rule 120A of the Jharkhand Goods and Services Tax Rules, 2017 read with section 168 of the Jharkhand Goods and Services Tax Act,

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Seeks to waive late fee payable for delayed filing of FORM GSTR-3B for Aug & Sep, 2017

GST – States – G.O. Ms. No. 52/CT/2017-18 – Dated:- 3-11-2017 – GOVERNMENT OF PUDUCHERRY COMMERCIAL TAXES SECRETARIAT (G.O. Ms. No. 52/CT/2017-18, Puducherry, dated 3rd November 2017) NOTIFICATION In exercise of the powers conferred by section 128 of the Puducherry Goods and Services Tax Act, 2017 (Act No.6 of 2017), the Lieutenant-Governor, Puducherry, on the recommendations of the Council, hereby waives the late fee payable under section 47 of the said Act for all registered persons who faile

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OFFSET LAIBILITY SUCESSFULL

Goods and Services Tax – Started By: – HAFIZUR RAHMAN – Dated:- 2-11-2017 Last Replied Date:- 5-11-2017 – I HAD PAY LATE FEE 1400.00 CPIN 17093300473716 BUT AUGUST GSTR3B MONTH BALANCE LAIBILITY NOT CLEAR AUGUST FILLED ERROR MASSAGE Please clear the pending liability first and then proceed for filing KINDLY RECTIFY THIS PROBLEM.THANKING YOU – Reply By KASTURI SETHI – The Reply = Late fee for both July, August and September, 17 has been waived by Govt. In respect of GSTR 3 B.If already paid that

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Post receipt of LuT, Can we raise invoice for export with IGST ?

Goods and Services Tax – Started By: – RameshBabu Kari – Dated:- 2-11-2017 Last Replied Date:- 6-11-2017 – Reply By KASTURI SETHI – The Reply = Yes. You can raise invoice with IGST. – Reply By MARIAPPAN GOVINDARAJAN – The Reply = I endorse the views of Shri Sethi. – Reply By Ganeshan Kalyani – The Reply = If you have LUT for export without payment of IGST then should you need to export with payment of IGST. – Reply By KASTURI SETHI – The Reply = Filing of LUT and acceptance thereof by the depa

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Supply to EOU Unit under GST

Goods and Services Tax – Started By: – SURYAKANT MITHBAVKAR – Dated:- 2-11-2017 Last Replied Date:- 6-11-2017 – Any concessional rate of GST is applicable for supply to EOU UNIT under GST. – Reply By MARIAPPAN GOVINDARAJAN – The Reply = Your specific query please. – Reply By Ganeshan Kalyani – The Reply = Pls elaborate your query. – Reply By KASTURI SETHI – The Reply = The Querist is well conversant. He posted the query and forgot . Is he really interested ? – Discussion-Forum – Knowledge Shari

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Nila Infrastructure Limited & 1 Versus Surat Municipal Corporation & 1

2017 (11) TMI 809 – GUJARAT HIGH COURT – 2018 (11) G. S. T. L. 275 (Guj.) – Disqualification of petitioner – petitioner's bid treated as nonresponsive and ineligible on the sole ground that while submitting the bid the petitioner no.1 has not paid Goods and Services Tax to the respondent with the Bid/ Document Fee – at the time of submitting bid the petitioners made the payment of ₹ 18000/towards bid / document fees, however without GST @18% as demanded as per the tender document / notice – It is the case on behalf of the petitioners that thereafter, in absence of any information about the GSTIN of the respondent Corporation, the petitioner no.1 has made the payment of GST by depositing the amount as per reverse charge mechanism on 3.10.2017 at around 12.00 p.m within the time prescribed for the said purpose under law.

Held that: – At the outset, it is required to be noted that as such in the present case the petitioners are not considered to be tenderer at all by the resp

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osit of entire amount of document fee and EMD details was mandatory to be paid.

It is an admitted position that as the petitioners did not deposit the entire bid document fee / bid processing fee at the time of submitting the bid / bid document and therefore, no such receipt in favour of petitioner has been generated like in the case of other two bidders who in fact paid the entire bid document fee / EMD and therefore, the petitioners are not considered at all tenderer / bidder and therefore, its bid has not been considered at the technical bid stage.

The issue of the acceptance or rejection of a bid or a bidder should be looked at not only from the point of view of the unsuccessful party but also from the point of view of the employer.

The decision of the respondent Corporation in not treating and / or considering the petitioners as tenderer / bidder and in holding the petitioners ineligible even prior to technical bid stage, cannot be said to be perverse and / or

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noted even at the cost of repetition that other two bidders did deposit the entire amount of ₹ 21,240/and thereby complied with the relevant terms and conditions / essential conditions.

What is required to be considered as payment of entire amount of bid document fee / bid processing fee and the EMD at the relevant time and before the prescribed period mentioned in the tender document. As observed herein above, such a requirement was required to be complied with the entry stage itself. As observed herein above, unless and until, entire amount of bid document fee/ bid processing fee and the EMD is deposited the persons who submitted bid would not get entry at all and only after the aforesaid amount is deposited / paid and receipt is generated, the concerned party can be said to be tenderer / bidder whose bid is required to be considered at technical stage and thereafter on fulfillment of other terms and conditions, its price bid is required to be considered.

Petition

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for an appropriate writ, direction and order to quash and set aside the impugned decision of the respondent Corporation to disqualify the petitioner no.1 treating its bid as nonresponsive and ineligible on the sole ground that while submitting the bid the petitioner no.1 has not paid Goods and Services Tax (hereinafter referred to as the GST ) to the respondent with the Bid/ Document Fee. 3.0. The facts leading to the present Special Civil Application in nutshell are as under: 3.1. That the respondent Corporation has issued a Request for Proposal (hereinafter referred to as RFP ) for Development of Integrated Group Housing Facility at Dumbhal Tenements of FP No. 18/A TPS No. 33 (Dumbhal) on PPP basis under Redevelopment of Public Housing Scheme2016 . As per the RFP, initially the online bid was to be submitted by 29.03.2017 and the physical bid was to be submitted by 07.04.2017. However, the aforesaid deadlines came to be extended upto 22.06.2017 for the online submission and 01.07.20

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e tender notice, time schedule was as under: Sr.No. Event of Description Date 1 Last date of receiving queries online only. 21.08.2017 up to 11.00 hrs. 2 Surat Municipal Corporation response to queries Response to queries will be uploaded online as corrigendum/amendment after pre bid meeting. 3 Pre­Bid Meeting Pre Bid meeting will be held on 22.08.2017 @ 16.00 hrs. Place of Pre bid meeting: 88, Conference hall, 2nd Floor, SMC Office, Mugalisara, Surat, Gujarat, India. 4 Last date of online submission 07.09.2017 5 Opening of Bids If possible on 16.09.2017 at 16.00 hrs in the office of Executive Engineer, Solid Waste Management Dept., Surat Municipal Corporation, Surat (If Possible). 6 Validity of Bids 180 days from the date of opening of price bid. 7 Signing of Agreement Development Within 15 days of issue of LOI. It is submitted that pursuant to the Second RFP, the petitioner no.1 submitted its online bid on 07.09.2017 and the physical bid on 09.09.2017. It is the case on behalf of

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on, it came to be informed to the petitioner no.1 that the amount of GST @ 18% was paid along with bid / document fee. It is the case on behalf of the petitioners that in view thereof, despite having made a provision for the payment of GST on reverse charge basis as per law, the petitioner no.1 out of abundant caution, addressed a letter dated 19.09.2017 and submitted a Demand Draft No.052513 dated 19.09.2017 towards the said amount of GST as per the information provided by the respondent. At this stage, it is required to be noted that at the time of submitting bid the petitioners made the payment of ₹ 18000/towards bid / document fees, however without GST @18% as demanded as per the tender document / notice. It is the case on behalf of the petitioners that thereafter the petitioner no.1 in good faith, addressed another letter to the respondent on the very next day i.e. 20.09.2017, thereby undertaking to bear any penalty, if any, imposed for late deposit of the amount of GST. Tha

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on 3.10.2017 at around 12.00 p.m within the time prescribed for the said purpose under law. 3.4. It is the case on behalf of the petitioners that on 3.10.2017, ar around 9.30 a.m, the petitioner no.1 checked the status of the tender on online tender on online tender portal nProcure . According to the petitioners, at that time, the status showed that the technical bids of all the bidders were under evaluation. According to the petitioner, however, at around 1.00 p.m, the petitioner no.1 rechecked the status of the tender on nProcure and found that the petitioner no.1 had been disqualified. It is the case on behalf of the petitioners that as per the latest status of the tender process that out of the three bidders who participated in the tender process, two have been disqualified and thereby newly added respondent no.2 herein Siddhi Constructions only remained in fray. 3.5. Feeling aggrieved and dissatisfied with the impugned action of the respondent no.1Surat Municipal Corporation – bid

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ring the petitioner disqualified at technical stage on the sole ground of non deposit / payment of bid / document fee of ₹ 21,240/with GST @18% is absolutely illegal and most arbitrary. 5.1. It is further submitted by Shri Mihir Joshi, learned counsel for the petitioners that as such the petitioner no.1 in fact, download the tender document / notice successful and thereafter while submitting bid not only paid the EMD of ₹ 93,00,000/, the petitioner no,1 also deposited bid / document fee of ₹ 18000/. It is submitted that as such at the relevant time the petitioners did not deposit the bid / document fee of ₹ 18,000/with 18% GST as respondent Corporation had not provided any details pertaining to GST Registration / GSTIN. It is submitted that even otherwise as per the law with respect to GST, the payment of GST @18% on reverse charge basis was permissible which the petitioner no.1 did deposit on reverse charge basis before the relevant date of payment of GST under

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of bid / document fee or tender fees cannot be said to be a condition of the tender or the eligibility and therefore, bid cannot be held to be non responsive for non payment of tender fee (in full). It is submitted that in the present case as such full tender fees have been paid by the petitioner no.1 and then the bid is submitted. 5.3. It is further submitted by Shri Mihir Joshi, learned counsel for the petitioners that even otherwise assuming without admitting that payment of Bid / Document Fees or tender fees was a condition, non fulfillment of such conditions cannot be said to be a non fulfillment of essential conditions of the eligibility. It is submitted that requirement in the tender notice can be classified into two categories those which lay down the essential conditions of eligibility and the others which are merely ancillary or subsidiary to the main object to be achieved by the condition. It is submitted that in the first case the authority issuing the tender may be require

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bid / tender fee and that too non payment of GST @18% on the amount of bid / tender fee is not considered to be Non Responsive . 5.6. It is further submitted by Shri Mihir Joshi, learned counsel for the petitioners that even otherwise in the facts and circumstances of the case, more particularly, when immediately having come to know, the petitioners have initially sent the demand draft of GST @ 18% of ₹ 18000/( bid/ tender fee) and as respondent Corporation did not accept the same, thereafter deposited the said with the appropriate authority on reverse charge basis which the petitioners deposited with the appropriate authority within the time prescribed under the relevant provision of Central Goods and Service Tax, 2017. It is submitted that as such therefore, the petitioners can be said to have substantially complied with relevant terms and conditions of the eligibility criteria. 5.7. It is submitted that even such lapse if any of non deposit of GST @18% on the amount of ₹

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upreme Court as well as this Court and Delhi High Court, it is requested to allow the present petition, more particularly, now subsequently only respondent no.2 herein is held to be qualified and therefore, there shall not be any competition and therefore, the public interest will suffer. (1). G.J.Fernandez vs. State of Karnataka and Ors reported in (1990) 2 SCC 488. (para 11,14 and 15) (2). Poddar Steel Corporation vs. Ganesh Engineering Works and Ors reported (1991) 3 SCC 273. (para 6) (3). Rashmi Metaliks Limited and Another vs. Kolkata Metropolitan Development Authority and Ors reported in (2013) 10 SCC 95. (para 17 & 18) (4). Om Prakash Sharma vs. Ramesh Chand Prashar and Ors reported in (2016) 12 SCC 632. (Para 10 to 12) (5). Jal Mahal Resorts Private Limited vs. K.P. Sharma and Ors reported in (2014) 8 SCC 804. (para 108 to 116 and 138). (6). Bakshi Security And Personnel Services Private Limited vs. Devkishan Computed Private Limited and Ors reported in (2016) 8 SCC 446. (7

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ical bid stage. It is submitted that the decision to consider the petitioners ineligible at the technical bid stage is absolutely in consonance with the relevant terms and conditions of the tender notice which is neither arbitrary nor mala fide. 6.2. It is vehemently submitted by Shri Desai, learned counsel for the respondent Corporation that merely because the petitioners could download the E Tender bid documents, the petitioners as such does not acquire any right in its favour to consider its bid which was submitted electronically, unless and until the petitioners comply with all other terms and conditions of the tender document / notice including that of deposit of bid document / bid processing fee. 6.3. It is vehemently submitted by Shri Desai, learned counsel for the respondent Corporation that as the entire process of inviting tender was through E Tender, if any party, who opens website of the respondent Corporation for the purpose of downloading E Tender Bid Document, then at th

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ugh RPAD or Speed Post so as to reach the Accounts Department within 7 days from the last date of submission of price bid. It is submitted that everybody was informed about the amount to be paid towards bid Document Fee / Bid Processing Fee i.e. ₹ 21240/. It is submitted that as the entire process of invited tender through E Tender anybody could download E Tender Bid document, however for the purpose of considering such party as bidder, such party is required to deposit bid / document fee (entire) and also bid security. It is submitted that only when the entire amount of bid document fee / bid processing fee and the EMD is deposited within the stipulated time as provided under the tender document, the receipt is generated in the record of the Corporation and on generation of the receipt, such party who had complied with all the terms and conditions at the initial stage namely deposit of entire amount of bid document fee and the EMD is considered to be the bidder / tenderer and on

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ted that nobody remained present on behalf of the petitioners in the pre bid meeting and therefore, no query was raised even with respect to the GST and / or GSTIN number. It is submitted that therefore, the submission on behalf of the petitioners that at the relevant time the petitioners did not deposit the GST amount (Rs.18000 + GST @18%) due to non availability of GST number and / or GSTIN is nothing but an afterthought. It is submitted that every other bidders in fact initially deposited the entire amount of ₹ 21,240/towards bid document fee / bid process fees with the Corporation and within the time prescribed as per the tender document. It is submitted that even thereafter as GST rate was changed and it was reduced to 12% the difference between 18% and 12% was refunded and returned to the concerned bidder. It is submitted that therefore, when all other bidders could deposit and/or deposited the entire amount of bid document fee / bid document processing fee of ₹ 21240

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considered the petitioner as tenderer itself. It is submitted that any amount / differential amount deposited subsequently and after the relevant date as prescribed in the tender document, such payment cannot be considered to be a valid payment and / or such payment is not required to be considered at all, more particularly, in the present case the differential amount was deposited after technical bid was opened on 18.09.2017. 6.6. It is vehemently submitted by Shri Desai, learned counsel for the respondent Corporation that as such on 19.09.2017 itself the draft of differential amount was sent back / returned to the petitioners. It is submitted that the technical bid was opened on 18.09.2017 and the prebid was opened on 03.10.2017 and after the price bid was opened, the petitioners have preferred present petition on 3.10.2017. It is submitted that the petitioners did nothing, more particularly, did not approach this Court immediately after 18/19. 09.2017. 6.7. It is further submitted

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er. It is submitted that non fulfillment of essential condition would render the concerned party ineligible and / or its bid is not required to be considered at all. In support of his above submission, Shri Desai, learned counsel for the respondent Corporation has relied upon the decision of the Hon'ble Supreme Court in the case of Rashmi Metaliks Limited and Another vs. Kolkata Metropolitan Development Authority and Ors reported in (2013) 10 SCC 95 as well as in the case of Aksh Security And Personnel Services Private Limited vs. Devkishan Computed Private Limited and Ors reported in (2016) 8 SCC 446 as well as in the case of Central Coalfields Limited and Another vs. SLLSML (Joint Venture Consortium) And Ors reported in (2016) 8 SCC 622. Learned counsel for the respondent Corporation has also relied upon the unreported decision of the Division Bench of this Court in the case of P. Kavitha vs. State of Gujarat and Ors rendered in Special Civil Application No.4731 of 2017. 6.9. It

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818 and in the case of Tamil Nadu Generation And Distribution Corporation Limited (Tangedco) Represented by its Chairman and Managing Director and Another vs. CSEPDITRISHE Consortium Represented by its Managing Director and Another reported in (2017) 4 SCC 318. Making above submissions and relying upon the above decisions, it is requested to dismiss the present petition. 7.0. Shri Mihir Thakore, learned counsel for the newly added respondent no.2 has submitted that to avoid any repetition, he adopts the submissions made on behalf of the respondent Corporation. It is submitted that as in the present case, there is non compliance at the entry stage itself and therefore, the decision of the Corporation not to consider the petitioners as tenderer / bidder itself and consequently not opening the price bid of the petitioners is absolutely just and in consonance with the terms and conditions of the tender. Therefore, relying upon the decision of the Hon'ble Supreme Court in the case of Ce

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he outset, it is required to be noted that as such in the present case the petitioners are not considered to be tenderer at all by the respondent Corporation on non deposit of entire amount of bid document fee, which as such was required to be paid as per the terms and conditions of the tender document and nProcure document. It is required to be noted that as per nProcure document the party who submit its bid online was required to deposit / pay within the stipulated time the bid document fee/ bid processing fee of ₹ 21240/which includes GST at 18%. It is an admitted position that when the petitioners submitted its bid online and thereafter in physical format the petitioners did not pay the entire amount of bid document fee/ bid processing fee of ₹ 21240/and deposited only part of the bid document fee / bid processing fee i.e. ₹ 18000/only. At this stage, it is required to be noted that other two tenderers who submitted their bid, paid / deposited the entire document

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r fee electronically and for the purpose of realization of EMD and tender fee, bidder was required to send EMD and tender fee in the required format in original through RPAD / Speed Post so as to reach the Accounts Department within 7 days from the last date of submission of price bid. It is required to be noted that as entire process inviting tender was through E Tender, downloading was free and if any party who open website of the respondent Corporation is allowed to download the entire tender document. However, thereafter for the purpose of considering such party as bidder / tenderer and its bid is opened and considered, such party is required to fulfill all the terms and conditions of the tender bid document. As per the procedure, after the tender documents are downloaded which as such was free of charge and thereafter the concerned parties who submits the bid, fulfills all the terms and conditions of the nProcure tender consolidated details including the deposit of entire bid docu

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e either arbitrary and / or mala fide and / or contrary to the terms and conditions of the tender document, more particularly, the terms and conditions mentioned in the nprocure tender consolidated details. In light of the above facts and circumstance of the case, few decisions of the Hon'ble Supreme Court on the nature and scope of judicial review of the Constitutional Court / High Court in exercise of powers under Article 226 of the Constitution are required to be referred to. 9.1. In the case of Michigan Rubber (India) Limited (supra) after considering the various other decisions of the Hon'ble Supreme Court on the point, more particularly, after considering the decisions of the Hon'ble Supreme Court in the case of Jagdish Mandal (supra) and Tejas Constructions and Infrastructure (P) Ltd (supra), in para 23 and 24, the Hon'ble Supreme Court has observed and held as under: 23. From the above decisions, the following principles emerge: (a) the basic requirement of Arti

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e State authorities unless the action of tendering authority is found to be malicious and a misuse of its statutory powers, interference by Courts is not warranted; (d) Certain preconditions or qualifications for tenders have to be laid down to ensure that the contractor has the capacity and the resources to successfully execute the work; and (e) If the State or its instrumentalities act reasonably, fairly and in public interest in awarding contract, here again, interference by Court is very restrictive since no person can claim fundamental right to carry on business with the Government. 24.Therefore, a Court before interfering in tender or contractual matters, in exercise of power of judicial review, should pose to itself the following questions (i) Whether the process adopted or decision made by the authority is mala fide or intended to favour someone; OR Whether the process adopted or decision made is so arbitrary and irrational that the court can say: â€oethe decision is

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so further observed that however, the Constitutional Courts are expected to exercise restraint in interfering with the administrative decision and ought not to substitute its view for that of the administrative authority. It is further observed that mere disagreement with the decision making process or the decision of the administrative authority is no reason for a Constitutional Court to interfere. It is further observed that the threshold of mala fides, intention to favour someone or arbitrariness, irrationality or perversity must be met before the Constitutional Court interferes with the decision making process or the decision. 10. Now, so far as submission on behalf of the petitioners that non deposit of entire amount of bid document fee/ bid processing fee cannot be said to be an essential condition relatable to eligibility on merits and non deposit of entire amount of bid document fee / bid processing fee would not render the petitioners disqualified for considering its bid on me

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en concerned party who has downloaded E tender document deposits the entire amount of bid document fee / bid processing fee and the EMD would get entry for the purpose of considering its bid at technical bid stage as well as price bid stage. Unless and until, the aforesaid amount is deposited as required and within the stipulated time, such a party would not get entry at all and cannot be said to be tenderer / bidder. Therefore, as such there is no question of considering its bid as on nonfulfillment of aforesaid terms and conditions and nondeposit of entire bid tender document fee / bid processing fee, it cannot get the entry at all and it cannot be considered to be bidder / tenderer at all whose bid is required to be opened and / or considered. At this stage, few decisions of the Hon'ble Supreme Court on the point are required to be referred to. 10.1. In the case of the Central Coalfields Limited and Another (supra), it is specifically observed and held by the Hon'ble Supreme

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has observed and held as under: [31] We were informed by the learned Attorney General that 9 of the 11 bidders furnished a bank guarantee in the prescribed and correct format. Under these circumstances, even after stretching our credulity, it is extremely difficult to understand why JVC was unable to access the prescribed format for the bank guarantee or furnish a bank guarantee in the prescribed format when every other bidder could do so or why it could not seek a clarification or why it could not represent against any perceived ambiguity. The objection and the conduct of JVC regarding the prescribed format of the bank guarantee or a supposed ambiguity in the NIT does not appear to be fully above board. [32] The core issue in these appeals is not of judicial review of the administrative action of CCL in adhering to the terms of the NIT and the GTC prescribed by it while dealing with bids furnished by participants in the bidding process. The core issue is whether CCL acted perversely e

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meaning. The court must, as far as possible, avoid a construction which would render the words used by the author of the document meaningless and futile or reduce to silence any part of the document and make it altogether inapplicable. 34. In Ramana Dayaram Shetty case, the expression registered IInd Class hotelier was recognized as being inapt and perhaps ungrammatical; nevertheless common sense was not offended in describing a person running a registered II grade hotel as a registered II Class hotelier. Despite this construction in its favour, respondents 4 in that case were held to be factually ineligible to participate in the bidding process. [35] It was further held that if others (such as the appellant in that case) were aware that nonfulfillment of the eligibility condition of being a registered II Class hotelier would not be a bar for consideration, they too would have submitted a tender, but were prevented from doing so due to the eligibility condition, which was relaxed in th

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too would have meaningfully participated in the bidding process. In other words, by rearranging the goalposts, they were denied the privilege of participation. [37] For JVC to say that its bank guarantee was in terms stricter than the prescribed format is neither here nor there. It is not for the employer or this Court to scrutinize every bank guarantee to determine whether it is stricter than the prescribed format or less rigorous. The fact is that a format was prescribed and there was no reason not to adhere to it. The goalposts cannot be rearranged or asked to be rearranged during the bidding process to affect the right of some or deny a privilege to some. [38] In G.J. Fernandez v. State of Karnataka, 1990 2 SCC 488 both the principles laid down in Ramana Dayaram Shetty were reaffirmed. It was reaffirmed that the party issuing the tender (the employer) has the right to punctiliously and rigidly enforce the terms of the tender. If a party approaches a Court for an order restraining

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ntroducing the privilegeofparticipation principle and the level playing field concept, this Court laid emphasis on the decision making process, particularly in respect of a commercial contract. One of the more significant cases on the subject is the threejudge decision in Tata Cellular v. Union of India, 1994 6 SCC 651 which gave importance to the lawfulness of a decision and not its soundness. If an administrative decision, such as a deviation in the terms of the NIT is not arbitrary, irrational, unreasonable, mala fide or biased, the Courts will not judicially review the decision taken. Similarly, the Courts will not countenance interference with the decision at the behest of an unsuccessful bidder in respect of a technical or procedural violation. This was quite clearly stated by this Court (following Tata Cellular) in Jagdish Mandal v. State of Orissa, 2007 14 SCC 517 in the following words: Judicial review of administrative action is intended to prevent arbitrariness, irrationalit

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by unsuccessful tenderers with imaginary grievances, wounded pride and business rivalry, to make mountains out of molehills of some technical/procedural violation or some prejudice to self, and persuade courts to interfere by exercising power of judicial review, should be resisted. Such interferences, either interim or final, may hold up public works for years, or delay relief and succour to thousands and millions and may increase the project cost manifold. This Court then laid down the questions that ought to be asked in such a situation. It was said: Therefore, a court before interfering in tender or contractual matters in exercise of power of judicial review, should pose to itself the following questions: (i) Whether the process adopted or decision made by the authority is mala fide or intended to favour someone; OR Whether the process adopted or decision made is so arbitrary and irrational that the court can say: the decision is such that no responsible authority acting reasonably

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y, the soundness of the decision taken by the employer ought not to be questioned but the decision making process can certainly be subject to judicial review. The soundness of the decision may be questioned if it is irrational or mala fide or intended to favour someone or a decision that no responsible authority acting reasonably and in accordance with relevant law could have reached as held in Jagdish Mandal followed in Michigan Rubber. [48] Therefore, whether a term of the NIT is essential or not is a decision taken by the employer which should be respected. Even if the term is essential, the employer has the inherent authority to deviate from it provided the deviation is made applicable to all bidders and potential bidders as held in Ramana Dayaram Shetty. However, if the term is held by the employer to be ancillary or subsidiary, even that decision should be respected. The lawfulness of that decision can be questioned on very limited grounds, as mentioned in the various decisions d

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ermissibly rewritten by the High Court. [52] There is a wholesome principle that the Courts have been following for a very long time and which was articulated in Nazir Ahmad v. King Emperor, 1936 AIR(PC) 253 namely Where a power is given to do a certain thing in a certain way the thing must be done in that way or not at all. Other methods of performance are necessarily forbidden. There is no valid reason to give up this salutary principle or not to apply it mutatis mutandis to bid documents. This principle deserves to be applied in contractual disputes, particularly in commercial contracts or bids leading up to commercial contracts, where there is stiff competition. It must follow from the application of the principle laid down in Nazir Ahmed that if the employer prescribes a particular format of the bank guarantee to be furnished, then a bidder ought to submit the bank guarantee in that particular format only and not in any other format. However, as mentioned above, there is no inflex

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anner whatsoever. 10.2. In the case of Afcons Infrastructure Limited (supra) in para 50 and after considering earlier decision in the case of Central Coalfields Limited and Another (supra), Dwarkadas Marfatia and Sons (supra), Raman Dayaram Shetty vs. International Airport Authority reported in (1979) 3 SCC 489, it is observed and held that the holder / employer of a project, having authored the tender documents, is the best person to understand and appreciate its requirements and interpret its documents. It is further observed that Constitutional Courts must defer to this understanding and appreciation of the tender documents, unless there is mala fide or perversity in the understanding or appreciation or in the application of terms of the tender conditions. It is further observed that it is possible that the owner or employer of a project may give an interpretation to the tender documents that is not acceptable to the Constitutional Courts but that by itself is not a reason for inter

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favoritism. The terms and conditions of the tender document are applied uniformly all other bidders had complied with the the aforesaid and have deposited the entire amount of bid document fee i.e. ₹ 21,240/( ₹ 18000/+ GST @18%) and EMD. At this stage, it is required to be noted that in the pre bid meeting held on 22.08.2017. Admittedly, representative of the petitioners did not remain present in the prebid meeting and did not raise any query with respect to the GSTIN number etc. If the petitioners had any doubt, it could have and ought to have sought clarification from the authority concerned as mentioned in the tender document. In the nProdcure tender consolidated details, it has been specifically mentioned that in case bidder needs any clarifications and / or if training is required to participate online tenders, they can contact (n)Procure Support Team. Moreover, the petitioner could have and ought to have at least made representation to the respondent Corporation prio

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₹ 21,240/and thereby complied with the relevant terms and conditions / essential conditions. 11. Now, so far as the submission on behalf of the petitioners that subsequently the petitioners in fact sent the demand draft of difference of amount of bid document fee by sending demand draft subsequently which was returned and even thereafter deposit the amount of GST on reverse charge basis and therefore, there is not loss to the respondent Corporation is neither here nor there. What is required to be considered as payment of entire amount of bid document fee / bid processing fee and the EMD at the relevant time and before the prescribed period mentioned in the tender document. As observed herein above, such a requirement was required to be complied with the entry stage itself. As observed herein above, unless and until, entire amount of bid document fee/ bid processing fee and the EMD is deposited the persons who submitted bid would not get entry at all and only after the aforesaid

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ving found ineligible on the ground of non compliance of essential condition of non deposit of entire bid tender document fee and consequently not getting the entry at the initial stage itself, thereafter, it would not be open for the petitioners to challenge the condition and / to contend that such a condition was not warranted. 12.1. Now, so far as submission on behalf of the petitioner that once the petitioners downloaded the entire tender documents and submitted its bid, the bid submitted by the petitioner is required to be considered at technical stage and price bid stage is concerned, it is required to be noted that entire tender process was through E Tender process and downloading of tender document was free. Unless and until all the terms and conditions of the tender document, more particularly, nProcure and the essential conditions are complied with the petitioners / bidders would not get right automatically to consider him eligible. Downloading of tender document is different

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aid has no substance. At the outset, it is required to be noted that as such no such case has been pleaded. However, in the affidavit in reply, it is specifically submitted on behalf of the respondent Corporation that aforesaid shall not be applicable in case of second time tender process. 13.0. Now, so far as reliance placed upon the decisions of the G.J.Fernandez (supra), Poddar Steel Corporation (supra), Rashmi Metaliks Limited and Another (supra), Om Prakash Sharma (supra), Jal Mahal Resorts Private Limited (supra), Baksh Security And Personnel Services Private Limited (supra), MHS Infra Tech Pvt Ltd (supra), PES Installations Pvt. Ltd and Anr (supra) and R.G. Holding Pvt Ltd (supra) by the learned counsel for the petitioners are concerned, in the facts and circumstances of the case, the said decisions shall not be applicable to the facts of the case on hand. At this stage, it is required to be noted that in the case of Central Coalfields Limited and Another (supra) and Afcons Infr

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