2018 (6) TMI 459 – AUTHORITY FOR ADVANCE RULING-ANDHRA PRADESH – 2018 (13) G. S. T. L. 428 (A. A. R. – GST) – Classification of goods and/or services or both – cold storage operations for agricultural products – rate of tax – Whether the storage of Agriculture produce falls under Service Account Code (SAC) 9986/9 or 996721 or some other SAC? – Whether the services falls under SAC 9986/9 the exemption under notification no 12/2017 C7R dated 28.06.2017 under entry no 54(e) is applicable to both farmers and traders? – Documents required to be taken by cold storage operator for availing exemption benefit.
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Held that:- Heading 9967 deals with support services in transportation. Whereas, heading 9986 deals with support services to agriculture, forestry, fishing, animal husbandry. Accordingly, there is no hesitation to rule out the heading 9967 – As seen from the plain reading of the entry 54 and 55, it is evident that the services provided in activity of cultivation, from the initial s
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raders. – AAR/02(GST)/2018 – AAR/AP/02(GST)/2018 – Dated:- 28-3-2018 – Sri. J.V.M Sarma (Member) And Sri. Amaresh Kumar (Member) Order: 1. M/s SSSVK COLD STORAGE PRIVATE LIMITED, [hereinafter also referred as an applicant), having GSTIN: 37AAMCS5026K1ZY are engaged in cold storage operations. The applicant extends his services by storing various processed and unprocessed agricultural produce pertains to both the farmers and traders. 2. The applicant filed an application far seeking advance ruling on Classification of goods and/or services or both, applicability of a notification issued under the provisions of the Act, Determination of the liability to pay tax on any goods or services or both under the Section 104 of CGST Act'2017 and Sec or. 104 of APGST Act'2017. The application was received by this authority on 1T January 2018, along with payment of ₹ 10000/- vide CPIN No: 18013700035704. The gist of questions on which advance ruling sought by the applicant is as follow
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ctional Tax Officer. 3. A personal hearing was fixed on 19.02.2018, wherein Sri. Ashish Kumar Agrawal (FCA) and authorized representative of the applicant attended. In their submissions the authorized representative has submitted the following points for consideration 1. That when a service can be classified under two different heads, the head which is more specific and near to actual service rather than the general entry is to be selected. 2. The service under SAC 998619 is more opt for services offered by the applicant i.e., storing of agricultural produce under entry number 54(e) of Notification No. 12/2017 (CGST – Rate), dated 28th June 2017, and contended entry under SAC 996721 is more generic in nature. 3. Further relied on circular 16/16/2017-GST, dated 15th November 2017, issued by TRU of Department of Revenue. 4. For question No. 2(b), he submitted the entry doesn't have any specific reference to specific class of persons but to specific class of services, accordingly cont
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rm including tending, pruning, cutting, harvesting, drying, cleaning, trimming, sun drying, fumigating, curing, sorting, grading, cooling or bulk packaging and such like operations which do not alter the essential characteristics of agricultural produce but make it only marketable for the primary market; (d) Renting or leasing of agro machinery or vacant land with or without a structure incidental to its use; (e) loading, unloading, packing, storage or warehousing of agricultural produce; (f) agricultural extension services; (g) services by any Agricultural Produce Marketing Committee or Board or services provided by a commission agent for sale or purchase of agricultural produce. Entry 55 Heading 9986 -/.Carrying out an intermediate production process as job work in relation to cultivation of plants and rearing of all life forms of animals, except the rearing of horses, for food, fibre, fuel, raw material or other similar products or agricultural produce. Heading 9967 (Supporting serv
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gricultural produce in the notification has been defined to mean "any produce out of cultivation of plants and rearing of all life forms of animals, except the rearing of horses, for food, fibre, fuel, raw material or other similar products, on which either no further processing . is done or such processing is done as is usually done by a cultivator or producer which does not alter its essential characteristics but makes it marketable for primary market" 4.3 The applicant has sought for the rates of taxes for the provision of services, in specific commodities. In this regard, we find that as long as the commodities fall under the purview and ambit of' agricultural produce' as referred in the said notification read with the explanation in the circular referred attracts 'nil' rate of tax. With regard to the applicability of the exemption under Notification No 12/2017(CGST-Rate), we find that the notification is service specific and not person specific. Hence the
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