Goods and Services Tax – GST – By: – Dr. Sanjiv Agarwal – Dated:- 1-9-2018 – Advance rulings are important in any tax law as it provides a forum for clarification and possible interpretation of statutory provisions. Moreover, it conveys the legislative intention from the revenue s view point. Provisions of advance ruling are contained in section 95 to 106 of CGST Act, 2017 and State / UT GST enactment. Rules 103 to 107 of also provide for forms, manner, certification etc. The Authority for Advance Rulings (AAR) have been set up in all the states and we have now over 100 advance rulings on different issues already pronounced by various State Authorities. The appellate mechanism for filing appeals against AAR rulings is also in place and we have about ten such appellate orders already pronounced. One major issue presently being faced is about multiple authorities (equal to number of States), each pronouncing a ruling of its own even if the matter is covered by some other State AAR s rul
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
m 14-11-2017 onwards, the products would be covered under schedule entry 1 of Notification No. 1-Integrated Tax (Rate). [In re Ahmednagar District Goat Rearing & Processing Co-op Federation Ltd., 2018 (5) TMI 1393 – AUTHORITY FOR ADVANCE RULING – MAHARASTRA ]. Advance Ruling on Classification of Goods AAR ruled that preparations for the care of the skin namely, Rupam (Pimple Pack) and Pailab (Anti-Crack Cream), in the list submitted by the Applicant of the Application are classifiable as Medicament under Heading 3004 of the Customs Tariff Act, 1975. Preparations listed as Swamajyoti, Sunayana and Tarumitra-60 have not yet come into existence, and, therefore, no rulings are pronounced on their classification. The remaining products mentioned in the list submitted by them are not offered primarily as medicaments and, therefore, not to be included under Heading 3004. This ruling is valid subject to the provisions under Section 103(2) until and unless declared void under Section 104(1)
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
004, except when it is specifically included in Heading 3304. In this case, all preparations manufactured by applicant were skin care products manufactured under valid drug license and following the formula prescribed in the authoritative textbooks of Ayurveda. A few ingredients added for preservation of quality is not relevant to decide their Ayurvedic nature. It has to be seen as to whether customer is purchasing product with same belief as manufacturer is selling. [In re Akansha Hair & Skin Care Herbal Unit Pvt. Ltd. 2018 (4) TMI 811 – AUTHORITY FOR ADVANCE RULING , WEST BENGAL ]. Advance Ruling on carry forward of input tax credit of Krishi Kalyan Cess In the pre-GST regime, the assessee was registered as Input Service Distributor (ISD) for its Head Office to distribute eligible credit to its respective manufacturing units. The assessee wanted to carry forward the accumulated credit of Krishi Kalyan Cess (KKC)appeared in service tax return on June 30, 2017 to the electroni
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
is carried forward in the electronic credit ledger maintained by the company under CGST Act, 2017, will not be considered as admissible input tax-credit. [In re Kansai Nerolac Paints Ltd. (2018) 5 TMI 458 (AAR-Maharashtra); ]. Being aggrieved, the applicant preferred an appeal u/s 100 of the GST law before Appellate Authority for Advance Ruling (AAAR) which approved the aforementioned ruling of AAR by passing an order u/s 101 of the GST law. The AAAR examined the erstwhile Cenvat Credit Rules, 2004 and formed a view that KKC could be utilized towards payment of KKC only. The KKC cannot be adjusted or cross utilized against the payment of excise duty or service tax. It was made expressly clear that Cenvat credit of input duty specified in the rule 3 i.e. excise duty, additional excise duty cannot be utilized for payment of KKC. Similarly the Cenvat credit in respect of KKC could not be utilized for payment of excise duty or service tax. It could be utilized only for payment of KKC. Thu
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =