2018 (11) TMI 448 – AUTHORITY FOR ADVANCE RULING, ANDHRA PRADESH – 2018 (18) G. S. T. L. 847 (A. A. R. – GST) – Input tax credit – Goods which are used for installation (Foundation) of plant and machinery – input services which are used for installation (Foundation) of plant and machinery – goods which are used for protection (by creating sheds) for plant and machinery – services which are used for protection (by creating shed) for plant and machinery – Held that:- The argument of the applicant to treat civil structures as structural support for plant and machinery is not tenable. The civil structures under consideration is squarely falls other civil structures which is excluded as per the explanation to the proviso as stated above. Hence, this authority is of the opinion the claim of the applicant is not justifiable.
–
Ruling:- As per the material on record and photographic evidences of the applicant, on which sought for clarification does not fall under the ambit of explanation
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
o.AD370518000170J. The applicant had paid the prescribed fee in prescribed format and the CPIN: 180537000004543 and CPIN: 18073700221722, the issues on which the clarifications sought by the applicant are as follows.. 1) Whether we are eligible to take GST input on Goods which are used for installation (Foundation) of plant and machinery? 2) Whether we are eligible to take GST input services which are used for installation (Foundation) of plant and machinery? 3) Whether we are eligible to take GST input on goods which are used for protection (by creating sheds) for plant and machinery? 4) Whether we are eligible to take GST inputs on services which are used for protection (by creating shed) for plant and machinery? On verification of basic information of the applicant, it is observed that the applicant falls under State jurisdiction, i.e Adoni – I Circle, of Kurnool Division (as per the bifurcation lists of tax payers between the Centre and State in the prescribed manner) accordingly,
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
pplicant has to construct foundation, sheds for protecting the plant. Observations of the authority: M/s. Maruti Ispat & Energy Private Limited, (here in after called as applicant ), is a private limited company, and manufacturers of steel and generation of power. The applicant submitted that they had DRI (direct reduced iron) i.e. spong iron unit and they involve in generation of power. They stated the nature of industry and product requires… buying of large plant and machinery for installation and protection of this plant & machinery, they required to lay foundations, and also to construct the sheds. They have drawn the attention of this authority, the section 17(5)(c) & sec 17 (5) (d) of CGST Act,2017, and submitted there is no restriction to claim input, with respect to items related to plant & machinery. Further, they stated structural support and civil structure are covered as per the explanation to the said provisions. They submitted the digging process is done
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
works contract service; (d) goods or services or both received by a taxable person for construction of an immovable property (other than plant or machinery) on his own account including when such goods or services or both are used in the course or furtherance of business. Explanation.-For the purposes of clauses (c) and (d), the expression construction includes re-construction, renovation, additions or alterations or repairs, to the extent of capitalisation, to the said immovable property; Explanation.-For the purposes of this Chapter and Chapter VI, the expression plant and machinery means apparatus, equipment, and machinery fixed to earth by foundation or structural support that are used for making outward supply of goods or services or both and includes such foundation and structural supports but excludes- (i) land, building or any other civil structures; (ii) telecommunication towers; and (iii) pipelines laid outside the factory premises. On being perusal of photographic evidences
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =