Goods and Services Tax

In Re : Akansha Hair & Skin Care Herbal Unit Pvt. Ltd.
GST
2018 (4) TMI 811 – AUTHORITY FOR ADVANCE RULING , WEST BENGAL – 2018 (12) G. S. T. L. 214 (A. A. R. – GST), [2018] 2 GSTL (AAR) 63 (AAR)
AUTHORITY FOR ADVANCE RULING , WEST BENGAL – AAR
Dated:- 9-4-2018
Case Number 01 of 2018
GST
Vishwanath Membe And Parthasarathi Dey Member
Applicant's representative heard Sri Anjan Dasgupta, Advocate & Sri P K Mukherjee, Authorised Representative
ORDER
1. The Applicant manufactures skin care preparations and wants an Advance Ruling on the Classification of 33 of its products. The Applicant declares that the question raised in this Application is not pending or decided in any proceedings under the CGST / WBGST Act, 2017 (hereinafter the GST Act). The officer concerned has not objected to the admission of the application. As such, the question raised is admissible for Advance Ruling under section 97 (2) (a) of the GST Act. The Application is, therefore, admitted.
2. Th

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ack Patch Pack
Beautifies the skin of sun-burn and black patches, ensures dazzling liveliness. Enhances glamour and beauty
Rupam
Pimple Pack
Glossy skin without pimples and rashes
Tanurima
Baby Skin Care
Fair and glossy skin for your baby
Romancho (lavender)
Body Talc
Soothing agent having anti-bacterial, anti-fungal anti-septic activity. Prevents excessive perspiration. Feeling of freshness, increases lustre of skin, gives relief from itching sensation and irritation of prickly heat, very helpful remedy in summer boils and pimples.
Romancho (Vanilla)
Body Talc
Soothing agent having anti-bacterial, anti-fungal anti-septic activity. Prevents excessive perspiration. Feeling of freshness, increases lustre of skin, gives relief from itching sensation and irritation of prickly heat, very helpful remedy in summer boils and pimples.
Romancho (Kewra)
Body Talc
Soothing agent having anti-bacterial, anti-fungal anti-septic activity. Prevents excessive perspiration

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Wash
Properly cleanses, exfoliate and moisturizes the skin. Helps for removing make-ups and sunscreen which, clog pores. Strengthens the natural protection of the skin. Instantly enhances glow and fairness. Improves the skin texture of skin and body
Nabaroop (Lemon)
Face & Body Wash
Properly cleanses, exfoliate and moisturizes the skin. Helps for removing make-ups and sunscreen which, clog pores. Strengthens the natural protection of the skin. Instantly enhances glow and fairness. Improves the skin texture of skin and body
Nabaroop (Neem)
Face & Body Wash
Properly cleanses, exfoliate and moisturizes the skin. Helps for removing make-ups and sunscreen which, clog pores. Strengthens the natural protection of the skin. Instantly enhances glow and fairness. Improves the skin texture of skin and body
Nabaroop (Orange)
Face & Body Wash
Properly cleanses, exfoliate and moisturizes the skin. Helps for removing make-ups and sunscreen which, clog pores. Strengthens the natur

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with hydrating the skin to make it glow, fresh and smooth. Helps to skin and tighten skin pores. Make skin soft and more elastic, reduces skin oilyness.
Twaka Snigdha (Rose)
Skin Toner
helps in the normal firming and toning of skin along with hydrating the skin to make it glow, fresh and smooth. Helps to skin and tighten skin pores. Make skin soft and more elastic, reduces skin oilyness.
Sukhparash
Face & Body Cream
Prevents from pimples, blemishes and skin rashes. Helps to cure minor and sunburn quantity
Namrata
Moisturizer for normal to dry skin
Helps to moisturize, soften and hydrate the skin. Prevents skin from rashes and burning sensation
Pailab
Anti-Crack cream
antibacterial & anti-septic for removal of cracked feet
Aadrita
Moisturizer for Oily skin
helps to moisturize, soften and hydrate the skin. Prevents the skin from rashes and burning sensation
Komal Parash
Baby Body Talc
Soothing agent having anti-bacterial, anti-fungal anti-septic activi

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of a Mauritius based company and intended to import revitalising toner, repairing lotion, cleanser, and refining mask of 'Proactive' brand. According to the petitioner, the cleanser and the repairing lotion contain almost 2.5% Benzoyl Peroxide as an ingredient, which has immense potential to cure acne. The fourth product, namely the mask, contains 6% sulphur as an ingredient, which too has therapeutic value. The first product, namely the toner, does not contain any active ingredient for curing the disease but is used for cleansing the skin as an aid to acne treatment. The petitioner sought an Advance Ruling on commodity Classification. After that, the AAR refers to several decisions of the Apex Court that have laid down common parlance as the appropriate test for determining the meaning or connotation of words or expressions describing an article in a Tariff Schedule. According to the AAR, common parlance test is not a rigid formula capable of being applied in all situations. The test

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r. The AAR resolves the contradiction by retaining in 3304 such skin care preparations as having only incidental or subsidiary therapeutic or prophylactic value. Other skin care preparations having substantial therapeutic or prophylactic use should be treated as medicaments under heading 3004. In other words, it is not sufficient that a skin care preparation incidentally or in a small way helps in controlling skin disease. Its curative or preventive value must be substantial, and the product must be manufactured primarily to control or cure a skin-related disease. That is to say, if preparations for the care of skin contain sufficient medical ingredients to offer a cure for skin ailments, they stand excluded from the purview of 3304.
7. While discussing Note 1 to Chapter 30 in Puma Ayurvedic Herbal Pvt Ltd (supra) the Supreme Court observes, “Thus preparations falling in Chapter 33 even if they have therapeutic or prophylactic properties will not fall under Chapter 30 which deals with

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lished, it cannot be placed under Chapter 30 as a Medicament.
9. The AAR's observations are primarily based on Puma Ayurvedic Herbal Pvt Ltd [2006 (196) ELT 3 (SC)]. In its written submission the Applicant also refers extensively to the above judgment, which has traversed the history of Supreme Court's observations on the related questions and issues while deciding upon the classification of the petitioner's skin care products. It has direct relevance to the Applicant's case and needs to be discussed in some detail for clarity on the legal position regarding classification of goods in the present context.
10. In Puma Ayurvedic Herbal Pvt Ltd (supra) the Court observes, “In order to determine whether a product is a cosmetic or a medicament a twin test has found favour with the Courts. The test has the approval of this Court also vide Collector Vs. Richardson Hindustan Ltd [1989(42) ELT A100 (SC)/2004 (9) SCC 156]. There is no dispute about this as even the Revenue accepts that the tes

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ommon parlance meaning and understanding is a strong factor in the determination of the classification of products. One need not resort to the scientific or technical meaning of the terms used (emphasis added). So far as the other test is concerned, the learned counsel for the appellant has placed on record material from the Ayurvedic texts or Pharmacopoeia in support of each product which is the subject matter of the present appeal to show that the ingredients of each product are independently mentioned in the Ayurvedic texts.”
11. In Puma Ayurvedic Herbal Pvt Ltd (supra) the Appellant had a license to manufacture Ayurvedic products obtained from the Drug Controller under the Drugs and Cosmetics Act, 1940. All the items under appeal before the Supreme Court were produced from ingredients found in Ayurveda textbooks. They are manufactured as per the Ayurveda pharmacopoeia and had curative, therapeutic or prophylactic value. They were meant to give relief from body ailments. As such, a

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dgments, the Apex Court observes that the law is settled on the applicability of the twin test for determination of the classification of a product (emphasis added).
12. In its judgment dated 13/04/2009 in Baidynath Ayurved Bhawan Ltd (CA No. 4048 of 2001), the Apex Court revisited the question of the twin test for determining whether the product is an Ayurvedic Medicament or not. It observes that the twin test noticed in Puma Ayurvedic Herbal (P) Ltd continue to be relevant. The court holds that classification should be based on the popular meaning and understanding attached to such products by those using them and not the scientific and technical meaning of the terms and expressions used (emphasis added). “The approach of the consumer or user towards the product, thus, assumes significance. What is important to be seen is how the consumer looks at a product and what is his perception in respect of such product. The user's understanding is a strong factor in the determination of

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her parameters like classification in the license issued by the competent authority are relevant only in relation to and subject to the twin tests discussed above. It may be mentioned in this connection that different parameters can be used based on the purpose for the classification. The Apex Court has long settled that classification for fixing tariff should be based on how the goods are understood in common parlance in the commercial world.
14. In subhead 3004 the emphasis is on therapeutic or prophylactic uses. Even if a product is manufactured using ingredients and according to the formula prescribed in the authoritative textbooks of Ayurveda, it should not be classified as a medicament under heading 3004 unless it is meant for therapeutic or prophylactic uses. In other words, it is not sufficient that a skin care preparation, manufactured following a formula in an authoritative textbook of Ayurveda, helps in controlling skin disease. Its curative or preventive value must be subs

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xed (other than aqueous distillates and aqueous solutions of essential oils), suitable for use as goods of these headings and put up in packings with labels literature or other indications that they are for use as cosmetics or toilet preparations or put up in a form clearly specialized to such use and includes products whether or not they contain subsidiary pharmaceutical or antiseptic constituents, or are held out as having subsidiary curative or prophylactic value.' On the basis of this Note it was argued that even if a product has some curative or prophylactic value, it will still be cosmetic. We cannot accept this argument. The learned counsel has overlooked the use of the word 'subsidiary' in the said note from which it follows that a subsidiary curative or prophylactic use will not convert a cosmetic into a medicament. We have tried to illustrate this by giving the example of a bald man treating his baldness by use of the Ayurvedic product. The curative use of the product

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not mixed (other than aqueous distillates and aqueous solutions of essential oils), suitable for use as goods of these headings and put up in packings of a kind sold by retail for such use.” Note 5 to Chapter 33 of the Tariff Act does not exist anymore. It, therefore, appears that the phrase 'suitable for use as goods of these headings and put up in packings with labels literature or other indications that they are for use as cosmetics or toilet preparations (emphasis added) or put up in a form clearly specialized to such use and includes products whether or not they contain subsidiary pharmaceutical or antiseptic constituents, or are held out as having subsidiary (emphasis added) curative or prophylactic value' in Note 2 to Chapter 33 and also the Note 5 do not exist for the purpose of the GST Act.
18. Conclusions reached in Puma Ayurvedic Herbal Pvt Ltd (supra) and followed by the AAR in M/s Guthy Renker Marketing Pvt Ltd [2009 (248) ELT 932 (AAR)], based on earlier constructions of

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ion etc.), it is not to be classified as a medicament under heading 3004 in terms of Note 1(e) to Chapter 30, even if it has therapeutic or prophylactic properties of whatever degree.
19. It is acknowledged that nearly all proper skin care preparations have therapeutic or prophylactic properties, as they help in maintaining or improving the health of the skin. On the other hand, skin care preparations that are used as medicaments may have the effect of enhancing appearance and beauty by restoring skin health. The essential difference, therefore, lies in the user's perception of a particular product. If the user consumes the product primarily for cure from or treatment or mitigation of or for prevention of a specific skin disease or disorder, it should be treated as a medicament classifiable under heading 3004 (unless, of course, it has been specifically included under heading 3304). The effect of enhancing appearance of the skin or beauty is not what the product is offered for or used

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abel contains indication and method of use for each of the products. They are compared with the indication as per the list provided in the application. The prescriptions and also information available in the English Transcript are taken into account wherever relevant, subject to the limitation that the CD contains only snippets of different episodes of a TV show where the users are uniformly endorsing the Applicant's products as showing good results. It is not clear whether the 'good results' relate to enhancing appearance of the skin or treatment of a disease. We are not to involve ourselves in examining efficacy of the Applicant's products. Our focus will be to ascertain from available materials what the Applicant is offering and consumer is using. A more objective way to examine it is to analyse the information contained in the labels attached to the product when offered in retail set up. The information provided on the labels may be considered as written communication from the manu

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cts are either already specified under heading 3304 (like talcum powder, sunscreen, moisturising lotion etc.) and, therefore, cannot be considered for inclusion under heading 3004. 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.
In view of the foregoing we rule as under
RULING
1. 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 Swarnajyoti, 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 provisio

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Transportation expenses
Query (Issue) Started By: – subramanian vijayakumar Dated:- 8-4-2018 Last Reply Date:- 9-4-2018 Goods and Services Tax – GST
Got 2 Replies
GST
Whether an exporter who has paid transportation expenses paid to the cargo company can claim it as it and get refunds
Reply By Rajagopalan Ranganathan:
The Reply:
Sir,
The government will refund only CGST/IGST paid on transportation charges. The transportation charges will be reimbursed by your customer provided he

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Gst on bond money
Query (Issue) Started By: – Harini Singh Dated:- 8-4-2018 Last Reply Date:- 10-4-2018 Goods and Services Tax – GST
Got 2 Replies
GST
Hi I m working in a firm and digned a bond for 3 years or 1lakh rs. Now Do i have to pay gst also on penalty of 1lakh and can i get it ireimbursed
In this case who has to pay gst me or firm because I m not gegetti any sale or service
Pls clarify
Reply By Ganeshan Kalyani:
The Reply:
In My view yes, you will have to pay GST.
Re

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GST – CONCEPT & STATUS (Updated as on 01st April 2018)
GST
Dated:- 7-4-2018

GST – CONCEPT & STATUS
Updated as on 01st April 2018
INTRODUCTION:
The introduction of Goods and Services Tax on 1st July 2017 was a very significant step in the field of indirect tax reforms in India. By amalgamating a large number of Central and State taxes into a single tax, the aim was to mitigate cascading or double taxation in a major way and pave the way for a common national market. From the consumer point of view, the biggest advantage would be in terms of a reduction in the overall tax burden on goods, which was estimated to be around 25%-30%. Introduction of GST would also make Indian products competitive in the domestic and international markets. Studies show that this would have a positive impact on economic growth. Last but not the least, this tax, because of its transparent and self-policing character, would be easier to administer.
GENESIS:
2. The idea of moving towards t

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) Act, 2016, fiscal powers between the Centre and the States were clearly demarcated in the Constitution with almost no overlap between the respective domains. The Centre had powers to levy tax on the manufacture of goods (except alcoholic liquor for human consumption, opium, narcotics etc.) while the States had powers to levy tax on sale of goods. In case of inter-State sales, the Centre had power to levy a tax (Central Sales Tax) but the tax was collected and retained entirely by the originating States. As for services, it was the Centre alone that was empowered to levy service tax. Since the States were not empowered to levy any tax on the sale or purchase of goods in the course of their importation into or exportation from India, the Centre levied and collected this tax as additional duties of customs, which was in addition to the Basic Customs Duty. This additional duty of customs (commonly known as CVD and SAD) counter balanced excise duties, sales tax, State VAT and other taxes

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territories without legislatures (Union territory tax- UTGST). The Parliament would have exclusive power to levy GST (integrated tax – IGST) on inter-State trade or commerce (including imports) in goods or services. The Central Government will have the power to levy excise duty in addition to the GST on tobacco and tobacco products. The tax on supply of five specified petroleum products namely crude, high speed diesel, petrol, ATF and natural gas would be levied from a later date on the recommendation of GST Council.
5. A Goods and Services Tax Council (GSTC) was constituted comprising the Union Finance Minister, the Minister of State (Revenue) and the State Finance Ministers to recommend on the GST rate, exemption and thresholds, taxes to be subsumed and other features. This mechanism would ensure some degree of harmonization on different aspects of GST between the Centre and the States as well as across States. One half of the total number of members of GSTC would form quorum in me

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ber, 2016. GSTC is being assisted by a Secretariat. Twenty six meetings of the GSTC have been held so far. The following major decisions have been taken by the GSTC:
(i) The threshold exemption limit would be ₹ 20 lakh. For special category States (except J&K) enumerated in article 279A of the Constitution, threshold exemption limit has been fixed at ₹ 10 lakh.
(ii) Composition threshold shall be ₹ 1 crore. As decided in the 23rd meeting of the GSTC, this limit shall be raised to ₹ 1.5 crore after necessary amendments in the Act. Composition scheme shall not be available to inter-State suppliers, service providers (except restaurant service) and specified category of manufacturers. For special category States (except J&K and Uttarakhand) enumerated in article 279A of the Constitution, threshold exemption limit has been fixed at ₹ 75 lakh.
(iii) Existing tax incentive schemes of Central or State governments may be continued by respective government by wa

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s, would be imposed for a period of five years to compensate States for any revenue loss on account of implementation of GST. The list of goods and services in case of which reverse charge would be applicable has also been finalized.
(v) The five laws namely CGST Law, UTGST Law, IGST Law, SGST Law and GST Compensation Law have been recommended.
(vi) In order to ensure single interface, all administrative control over 90% of taxpayers having turnover below ₹ 1.5 crore would vest with State tax administration and over 10% with the Central tax administration. Further all administrative control over taxpayers having turnover above ₹ 1.5 crore shall be divided equally in the ratio of 50% each for the Central and State tax administration.
(vii) Powers under the IGST Act shall also be cross-empowered on the same basis as under CGST and SGST Acts with few exceptions.
(viii) Power to collect GST in territorial waters shall be delegated by Central Government to the States.
(ix

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vance received for supply of goods by all taxpayers.
(xiv) Supplies from GTA to unregistered persons has been exempted from tax.
(xv) Registration and operationalization of TDS/TCS provisions has been postponed till 30.06.2018.
(xvi) The e-way bill system shall be introduced nation-wide for all inter-State supplies with effect from 01.04.2018. As regards intra-State supplies, option has been given to States to choose any date on or before 01.06.2018.
(xvii) www.ewaybillgst.gov.in, managed by NIC, shall be the Common Goods and Services Tax Electronic Portal for generation of e-way bill.
(xviii) E-Wallet Scheme shall be introduced for exporters from 01.10.2018 and till then relief for exporters shall be given in form of broadly existing practice.
(xix) All taxpayers are required to file return FORM GSTR-3B & pay tax on monthly basis.
(xx) Taxpayers with turnover upto ₹ 1.5 Cr are required to file information in FORM GSTR-1 on a quarterly basis. Other taxpayers would have to

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be exempted from GST even if payment has not been received in foreign convertible currency – such suppliers shall be eligible for input tax credit.
(xxvii) Centralized UIN shall be issued to every Foreign Diplomatic Mission / UN Organization by the Central Government.
(xxviii) www.gst.gov.in, managed by GSTN, shall be the Common Goods and Services Tax Electronic Portal.
(xxix) Rate of interest on delayed payments and delayed refund has been recommended.
(xxx) Rules for National Anti-Profiteering Authority have been recommended. The National Anti-Profiteering Authority has been constituted having Chairman and four technical Members. Further Standing Committee on Anti-Profiteering and State level Screening Committee have also been set up.
SALIENT FEATURES OF GST:
8. The salient features of GST are as under:
(i) GST would be applicable on “supply” of goods or services as against the present concept of tax on manufacture of goods or on sale of goods or on provision of services.
(

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GST.
(vii) CGST, SGST /UTGST & IGST would be levied at rates to be mutually agreed upon by the Centre and the States under the aegis of the GSTC.
(viii) GST would replace the following taxes currently levied and collected by the Centre:
a) Central Excise Duty;
b) Duties of Excise (Medicinal and Toilet Preparations);
c) Additional Duties of Excise (Goods of Special Importance);
d) Additional Duties of Excise (Textiles and Textile Products);
e) Additional Duties of Customs (commonly known as CVD);
f) Special Additional Duty of Customs (SAD);
g) Service Tax;
h) Cesses and surcharges insofar as they relate to supply of goods or services.
(ix) State taxes that would be subsumed within the GST are:
a) State VAT;
b) Central Sales Tax;
c) Purchase Tax;
d) Luxury Tax;
e) Entry Tax (All forms);
f) Entertainment Tax (except those levied by the local bodies);
g) Taxes on advertisements;
h) Taxes on lotteries, betting and gambling;
i) State cesses and surcharges insofar as they

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category States (except J&K and Uttarakhand) enumerated in article 279A of the Constitution). As decided in the 23rd meeting of the GSTC, this limit shall be raised to ₹ 1.5 crore after necessary amendments in the Act. The threshold exemption and compounding scheme would be optional.
(xiv) The list of exempted goods and services would be kept to a minimum and it would be harmonized for the Centre and the States as well as across States as far as possible.
(xv) All Exports and supplies to SEZs and SEZ units would be zero-rated.
(xvi) Credit of CGST paid on inputs may be used only for paying CGST on the output and the credit of SGST/UTGST paid on inputs may be used only for paying SGST/UTGST. In other words, the two streams of input tax credit (ITC) cannot be cross utilized, except in specified circumstances of inter-State supplies for payment of IGST. The credit would be permitted to be utilized in the following manner:
a) ITC of CGST allowed for payment of CGST & IGST in tha

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the course or furtherance of business.
(xix) Electronic filing of returns by different class of persons at different cut-off dates.
(xx) Various modes of payment of tax available to the taxpayer including internet banking, debit/ credit card and National Electronic Funds Transfer (NEFT) / Real Time Gross Settlement (RTGS).
(xxi) Obligation on certain persons including government departments, local authorities and government agencies, who are recipients of supply, to deduct tax at the rate of 1% from the payment made or credited to the supplier where total value of supply, under a contract, exceeds two lakh and fifty thousand rupees. The provision for TDS has not been operationalized yet.
(xxii) Refund of tax to be sought by taxpayer or by any other person who has borne the incidence of tax within two years from the relevant date.
(xxiii) Obligation on electronic commerce operators to collect 'tax at source', at such rate not exceeding two per cent. (2%) of net value of taxable sup

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vable and immovable property of defaulting taxable person.
(xxix) Goods and Services Tax Appellate Tribunal would be constituted by the Central Government for hearing appeals against the orders passed by the Appellate Authority or the Revisional Authority. States would adopt the provisions relating to Tribunal in respective SGST Act.
(xxx) Provision for penalties for contravention of the provision of the proposed legislation has been made.
(xxxi) Advance Ruling Authority would be constituted by States in order to enable the taxpayer to seek a binding clarity on taxation matters from the department. Centre would adopt such authority under CGST Act.
(xxxii) An anti-profiteering clause has been provided in order to ensure that business passes on the benefit of reduced tax incidence on goods or services or both to the consumers.
(xxxiii) Elaborate transitional provisions have been provided for smooth transition of existing taxpayers to GST regime.
BENEFITS OF GST:
(A) Make in India

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age between neighboring States and that between intra and inter-State sales;
(ix) Average tax burden on companies is likely to come down which is expected to reduce prices and lower prices mean more consumption, which in turn means more production thereby helping in the growth of the industries. This will create India as a “Manufacturing hub”.
(B) Ease of Doing Business:
(i) Simpler tax regime with fewer exemptions;
(ii) Reduction in multiplicity of taxes that are at present governing our indirect tax system leading to simplification and uniformity;
(iii) Reduction in compliance costs – No multiple record keeping for a variety of taxes- so lesser investment of resources and manpower in maintaining records;
(iv) Simplified and automated procedures for various processes such as registration, returns, refunds, tax payments, etc;
(v) All interaction to be through the common GSTN portal- so less public interface between the taxpayer and the tax administration;
(vi) Will improve env

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onsumption.
GOODS AND SERVICES TAX NETWORK:
9. Goods and Services Tax Network (GSTN) has been set up by the Government as a private company under erstwhile Section 25 of the Companies Act, 1956. . GSTN would provide three front end services to the taxpayers namely registration, payment and return. Besides providing these services to the taxpayers, GSTN would be developing back-end IT modules for 27 States who have opted for the same. The migration of existing taxpayers has already started from November, 2016. The Revenue department of both Centre and States are pursuing the presently registered taxpayers to complete the necessary formalities on the IT system operated by GSTN for successful migration.
10. GSTN has selected 73 IT, ITeS and financial technology companies and 1 Commissioner of Commercial Taxes (CCT, Karnataka), to be called GST Suvidha Providers (GSPs). GSPs would develop applications to be used by taxpayers for interacting with the GSTN.
OTHER LEGISLATIVE REQUIREMEN

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nsation to States) Act respectively. Similar notifications have been issued by all the States under the respective SGST Act.
13. Apart from the notifications, 41 circulars and 13 orders have also been issued by CBEC on various subjects like proper officers, ease of exports, and extension of last dates for filling up various forms, etc.
ROLE OF CBEC:
14. CBEC is playing an active role in the drafting of GST law and procedures, particularly the CGST and IGST law, which will be exclusive domain of the Centre. This apart, the CBEC has prepared itself for meeting the implementation challenges, which are quite formidable. The number of taxpayers has gone up significantly. The existing IT infrastructure of CBEC has been suitably scaled up to handle such large volumes of data. Based on the legal provisions and procedure for GST, the content of work-flow software such as ACES (Automated Central Excise & Service Tax) would require reengineering. The name of IT project of CBEC under GST is '

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rained in this training programme. More than 52000 officers (including around 20000 officers from States) have already been trained. Out of these 7000 officers have attended refresher-training course also.
17. It is expected that a momentous reform like GST is popularized and familiarized to the trade and industry who are the vital stakeholders in successful implementation of this reform.
18. CBEC would be responsible for administration of the CGST and IGST law. In addition, excise duty regime would continue to be administered by the CBEC for levy and collection of central excise duty on five specified petroleum products as well as on tobacco products. CBEC would also continue to handle the work relating to levy and collection of customs duties.
19. Director General of Safeguards, CBEC has been mandated to conduct detailed enquiry on anti-profiteering cases and should give his recommendation for consideration of the National Anti-profiteering Authority.
20. CBEC has been instrumen

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6,964
12
No. of 3(B) returns filed for September, 2017
70,50,408
13
No. of 3(B) returns filed for October, 2017
67,01,752
14
No. of 3(B) returns filed for November, 2017
66,80,408
15
No. of 3(B) returns filed for December, 2017
66,37,923
16
No. of 3(B) returns filed for January, 2018
65,27,602
17
No. of 3(B) returns filed for February, 2018
61,65,324
18
No. of GSTR 1 returns filed for July, 2017
59,71,488
19
No. of GSTR 1 returns filed for August, 2017
22,14,857
20
No. of GSTR 1 returns filed for September, 2017
59,71,488
21
No. of GSTR 1 returns filed for October, 2017
22,16,652
22
No. of GSTR 1 returns filed for November, 2017
22,01,501
23
No. of GSTR 1 returns filed for December, 2017
55,65,273
24
No. of GSTR 1 returns filed for January, 2018
18,44,980
25
No. of GSTR 1 returns filed for February, 2018
6,63,351
26
No. of GSTR 2 returns filed for July, 2017
25,72,552
27
No. of GSTR 4 returns filed for quarter JulySeptember, 2017
9,04,81

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Invoice not included in GSTR-1 by supplier
Query (Issue) Started By: – Sadanand shelar Dated:- 7-4-2018 Last Reply Date:- 10-4-2018 Goods and Services Tax – GST
Got 6 Replies
GST
If supplier has not included invoice in his GSTR-1 what action receipient has to take?
Reply By KASTURI SETHI:
The Reply:
Supplier may add missing next month.
Reply By Ganeshan Kalyani:
The Reply:
Buyer can also upload his purchase invoice (sale invoice for supplier ) which is auto populate in GSTR 1A of the supplier who shall accept it. Otherwise, the supplier can show the missing invoice in subsequent month 's GSTR 1. Thanks.
Reply By subramanian vijayakumar:
The Reply:
The receipient can on verifying the GSTR 2A ANY OMISSION FOIND CAN BE A

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Resorts charging 18% GST as against 5% in their restaurants
Query (Issue) Started By: – vivin vijay Dated:- 7-4-2018 Last Reply Date:- 8-4-2018 Goods and Services Tax – GST
Got 7 Replies
GST
As per the recent ruleing restaurant we're to charge 5 percent as against 18 percent but we're not allowed to claim input credit. However, for resort they were given an option that if room rate is more than 7500 then they can charge 18 percent and cliam input credit . This is the background, now I went to a resort recently where my room rate was 5000 but I was charged GST at 18 percent the reason given by the resort was even if one room has a charge over 7500 they can charge at 18 percent for every room .
My question is
can a re

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. Therefore the rate of gst should be uniform for the entire resort. Since rent for one room is less than ₹ 7500/- they cannot charge lesser rate.
Reply By Ganeshan Kalyani:
The Reply:
Yes , I agree with your view Sir.
Reply By vivin vijay:
The Reply:
Rajgopalan Sir, all rooms are charged bellow 6000 except for one room they have kept at 7500 to get the benfit of input tax credit . It's not the other way around .
Reply By KASTURI SETHI:
The Reply:
Dear Querist,. You must make a representation to GST Council. This practice should be brought to the Notice of the GST Council. Evidence should be there.
Reply By Rajagopalan Ranganathan:
The Reply:
Sir,
The various input services provided to the resrot like maintenance, cleanin

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which amount to be claimed as refund for accumulated ITC in case of export under LUT
Query (Issue) Started By: – BalKrishan Rakheja Dated:- 6-4-2018 Last Reply Date:- 12-4-2018 Goods and Services Tax – GST
Got 4 Replies
GST
One party is engaged in manufacturing and clearing the goods on payment of duty in DTA and under LUT for export. The party claimed refund of accumulated ITC for the tax period of July 2017 amounting to ₹ 1.62 Crores on 05.01.2018 after making debit entry of the amount claimed as refund. The party also made some more debit entry in the same month for refund claimed for the month of August and September also. Now the detail of the amount remained in the electronic credit ledger is as under:
1. Balance as on 31.01.2018 in the credit ledger after debiting the duty for the month of Decmber 2017 and debit entry made for three refunds is = ₹ 50 lacs only
2. Balance for the month of July after taking credit and debiting the duty (Tax period for wh

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ax credit availed on inputs and input services during the relevant period other than the input tax credit availed for which refund is claimed under sub-rules (4A) or (4B) or both;
(C) "Turnover of zero-rated supply of goods" means the value of zero-rated supply of goods made during the relevant period without payment of tax under bond or letter of undertaking, other than the turnover of supplies in respect of which refund is claimed under sub-rules (4A) or (4B) or both;
(D) "Turnover of zero-rated supply of services" means the value of zero-rated supply of services made without payment of tax under bond or letter of undertaking, calculated in the following manner, namely:-
Zero-rated supply of services is the aggregate of the payments received during the relevant period for zero-rated supply of services and zero-rated supply of services where supply has been completed for which payment had been received in advance in any period prior to the relevant period red

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f say when the accumulated ITC for the period (Tax period) for which refund claimed is less than the refund claimed then how he can claim for refund of that amount which was not accumulated as ITC. for example accumulated ITC for the relevant period is ₹ 100000/- and he filed refund as per formula (maximum refund amount) for ₹ 1.5 Lacs. My question is which amount is elgible to him claimed as refund of accumulated I
Reply By Harshal Fifadra:
The Reply:
The refund application is allowed to be filed for lower of following:
1. Refund as per the formula
2. ITC claimed in GSTR-3B
3. Balance amount in ITC ledger
Reply By BalKrishan Rakheja:
The Reply:
Thanks Harshal ji for your valuable opinion.
Please clarify for which period the credit ledger's balance is to be claimed as refund .
(1) Credit ledger balance of July 17 (Rs. 20 lacs) for which the refund pertains as the export was done in July 17 and ITC was also availed in July 2017 or
(2) credit ledger balance (Rs

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Functions of National Anti-profiteering Authority (NAA) from Competition Commission of India (CCI) and the Central Board of Excise and Customs (CBEC)
GST
Dated:- 6-4-2018

The National Anti-profiteering Authority (NAA) has been constituted under section 171 of the Central Goods and Services Tax Act, 2017 read with Chapter XV of the Central Goods and Services Tax Rules, 2017 (CGST Rules for short) to determine whether the reduction in tax rates or benefit of input tax credit is being passed on to the recipient by way of commensurate reduction in prices. As per rule 137 of the CGST Rules, the Authority shall cease to exist after the expiry of two years from the date on which the Chairman enters upon his office unless the Council

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GST Revenue Targets
GST
Dated:- 6-4-2018

The month-wise figures of Central Goods and Services Tax (CGST), State Goods and Services Tax (SGST), Integrated Goods and Services Tax (IGST) and Cess collected by the Government since July 1, 2017 is as under:
(Amount in Rs. Crores)
Month
Collection
August, 2017
93,590
September, 2017
93,029
October, 2017
95,132
November, 2017
85,931
December, 2017
83,716
January, 2018
88,929
February, 2018
88,047
March, 2018
89,264
No targets for collection of GST have been fixed. In the absence of any past precedent, it shall be difficult to compare the GST revenue collection with the corresponding months of the previous years due to a number of factors like overlap of taxpayers

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5% Uniform rate of GST to apply in all railway catering services in trains or on stations
GST
Dated:- 6-4-2018

With a view to remove any doubt or uncertainty in the matter and bring uniformity in the rate of GST applicable to supply of food and drinks made available in trains, platforms or stations, it has been clarified with the approval of the competent authority that the GST rate on supply of food and drinks by the Indian Railways or Indian Railways Catering and Tourism Corporat

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selling out the old machinery
Query (Issue) Started By: – Aditya badraika Dated:- 6-4-2018 Last Reply Date:- 7-4-2018 Goods and Services Tax – GST
Got 2 Replies
GST
first thing can any 1 tell me how to check the current value of machinery in balance sheet
and second thing what is the procedure to sell the machinery
we have to make a sell billl for the machinery or first we have to make the agreement regarding for selling the machinery & how to make sale bill including gst
Reply B

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Extension of date for submitting the statement in FORM GST TRAN-2 under rule 117 (4) (b) (iii) of the Kerala State Goods and Service Tax Rules, 2017.
2/2018-STATE TAX Dated:- 6-4-2018 Kerala SGST
GST – States
Kerala SGST
Kerala SGST
GOVERNMENT OF KERALA
GOODS AND SERVICE TAXES DEPARTMENT
NOTIFICATION No. 2/2018-STATE TAX
No. CT/22046/2017-C1.
Thiruvananthapuram, 6th April 2018.
Sub:- Extension of date for submitting the statement in FORM GST TRAN-2 under rule 117 (4) (b) (i

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Notification of last dates for filing of GSTR-3B returns for the periods April 2018, May 2018, June 2018
1/2018-STATE TAX Dated:- 6-4-2018 Kerala SGST
GST – States
Kerala SGST
Kerala SGST
GOVERNMENT OF KERALA
GOODS AND SERVICE TAXES DEPARTMENT
NOTIFICATION No. 1/2018-STATE TAX
No. CT/22046/2017-C1.
Thiruvananthapuram, 6th April 2018.
In exercise of the powers conferred by section 168 of the Kerala Goods and Services Tax Act, 2017 (20 of 2017) (hereinafter in this notification referred to as the Act) read with sub-rule (5) of rule 61 of the Kerala State Goods and Services Tax Rule, 2017 the Commissioner of State Tax, on the recommendations of the Council, hereby specifies that the return in Form GSTR-3B for the month as

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In Re : M/s Sonka Publications (India) Private Limited
GST
2018 (5) TMI 594 – AUTHORITY FOR ADVANCE RULING – DELHI – 2018 (14) G. S. T. L. 414 (A. A. R. – GST)
AUTHORITY FOR ADVANCE RULING – DELHI – AAR
Dated:- 6-4-2018
Advance Ruling No. 05/DAAR/2018
GST
Pankaj Jain Member (Centre) and Vinay Kumar Member (State)
Present for the Applicant: Shri Vineet Bhatia, Advocate
Present for the Revenue (Centre): Shri Neeraj Aneja, Superintendent, Division Janakpuri, GST West, New Delhi
Present for the Revenue (State): None
Statement of Facts as per the Applicant:
The applicant is a Publishing House and engaged in the business of publishing and selling of books for students of various classes.
2. The applicant has got registered under the Central Goods and Service Tax Act and is holding GSTIN No. 07AAACS2232H1ZQ.
3. That besides many of its other publications, the applicant is also publishing books by the name of 'Sulekh Sarita Part-A' (सुले&#23

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on Question No. 1:
6. The books 'Sulekh Sarita Part-A' (सुलेख सरिता भाग – अ), 'Sulekh Sarita Part-B (सुलेख सरिता भाग – ब)' and 'Sulekh Sarita Part-1-5 (सुलेख सरिता भाग – 1 से 5)' are classifiable as 'Printed books' falling under 'HSN 4901'.
7. That whereas 'exercise books'/ 'writing books' simply contains sheets of lined paper, commonly known as 'note books' for practising and are used by students for taking down notes or for practising written contents and/or solving problems. Thus 'exercise books' generally do not contain any instructions and are merely compilation of plain papers with lines printed on them. The printing of lines on the plain paper is merely for enabling the students to write in a straight manner. Merely printi

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This book teaches 'MATRAS' with the concept of “उच्चारण के आधार पर मात्राओं का ज्ञान” with comparison of words and picture presentation. The concept helps the child to learn Hindi 'MATRAS' in the easy way, thus making the Hindi subject easier for the child.
c. The printed matter given in these books are also aimed at-
(i) Teaching the students about various prominent idioms i.e. (मुहावरों का ज्ञान करवाना)
(ii) Teaching the students about the art of word formation i.e (शब्द निर्माण सिखाना)
(iii) Improving the vocabulary of the students i.e. (हिन्द&#

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#2350;े क्या सिखाती है; मुझे सदा याद रखना है आदि का मूल उदेश्य बच्चों को वो संस्कार प्रदान करना है जो जीवन मे उनके काम आएं और वे एक अच्छा इंसान बनने मे उनकी मदद करे।” have been provided in the book with the objective to inculcate ethos and values in the minds of

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ain any content as such.
14. The basic edition of i.e. 'Sulekh Sarita Part-A (सुलेख सरिता भाग – अ)', 'Sulekh Sarita Part-B (सुलेख सरिता भाग – ब)' also qualify to be a 'picture book' falling under HSN 4903. These books, alternatively, even otherwise would be exempt from tax falling either under HSN 4901 or 4903. The primary level books of 'Sulekh Sarita Part 1-5' definitely qualify to be 'printed books' falling under HSN 4901.
15. Regarding, the relevance and importance of these books it is mentioned as these books are the first books which a child holds while beginning his process of learning. In the formative years the endeavour is to make learning a fun exercise for a child and therefore, the basic pre-nursery/ nursery and primary books are designed in such a manner that a child gets attracted towards them. For this

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books (including educational workbooks sometimes called writing books), with or without narrative texts have been classified to be 'printed books' falling under HSN 4901.
18. It is a settled law that the principle of ejusdem generis can be applied while interpreting entries in a taxing statute and the words or expressions in a entry derives its meaning, colour and characteristics from the preceding and succeeding words. A particular section of the statute shall not be divorced from the rest of the Act. The Ejusdem Generis rule applies to resolve the problem of giving meaning to groups of words where one of the words is ambiguous or inherently unclear. Even otherwise when the principle of ejusdem generis is applied to these HSN codes then the meaning of 'exercise books' and 'printed books' becomes clear. It can be noticed that the word 'exercise books' (In HSN 4820) is preceded by the word “registers, account books, note books, order books, receipt books, letter pads, diaries and simil

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from where he makes a taxable supply, if his aggregate turn over in a financial year exceeds the taxable quantum of Rs. 20.00 lacs.
20. Section 23 of the CGST Act deals with person who is not liable for registration. As per Section 23 (1) any person engaged exclusively in the business of supplying goods or services or both that are not liable to tax or are wholly exempt from tax then the person is not liable itself to register. Section 23 of the GST Act is reproduced here under for ready reference and the same reads as under:
Section 23(1): The following persons shall not be liable to registration, namely:-
(a) Any person engaged exclusively in the business of supplying goods or services or both that are not liable to tax or wholly exempt from tax under this Act or under the integrated Goods and Services Tax Act.
(b) An agriculturist, to the extent of supply of produce out of cultivation of land.
21. Section 24 of the CGST Act deals with compulsory registration in certain cases

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Every person supplying online information and database access or retrieval services from a place outside India to a person in India, other than a registered person;
(xii) Such other person or class of persons as may be notified by the Government on the recommendations of the Council.
22. The issue for decision is that in case person engaged exclusively in supply of goods that are not liable to tax or wholly exempt from tax (say for example 'printed books' or fresh vegetables or fruits) but is also availing the services of Goods Transport Agency or an Advocate and thus liable to pay tax under reverse charge then whether such a person is liable for registration or not?
23. From a plain reading of Section 24 it can be noticed that the opening word of Section 24 states “Notwithstanding anything contained in the sub-section (1) of section 22”. Thus, it can be noticed that section 24 specifically overrides the provision of section 22 (1), which prescribe the threshold taxable quantum. How

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eading of section 22, section 23 and section 24, it appears that section 24 does not override section 23, which is an independent code in itself and thus a person dealing exclusively in supply of goods or services or both that are not liable to tax or wholly exempt from tax would not be required to take a registration under the GST Acts.
Prayer of the Applicant:
27. That the product supplied by the applicant i.e. 'Sulekh Sarita Part-A', 'Sulekh Sarita Part-B' and 'Sulekh Sarita Part 1-5' be classified as 'printed books' falling under HSN 4901 or as 'picture books' falling under 'HSN 4903' and consequently covered by entry No. 119 or 121 of Notification No. 2/2017 – Central Tax (Rate).
28. That the applicant is not liable for registration, if it is engaged in supply of goods or services that are not liable to tax or wholly exempt from tax under the GST Acts.
Comments of Jurisdictional Officer (Centre):
29. With respect to Question No. 1:
CBEC vide Circular No. 1057/6/2017-CX dated

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e members of the trade requesting clarification regarding classification of printed workbooks, exercise books, children's drawing book etc. The issue raised in these representations is whether the aforesaid goods are classifiable under Chapter 48 or Chapter 49 of the erstwhile Central Excise Tariff Act (CETA), 1985. Issue was also litigated before the Hon'ble High Court of Delhi. The Hon'ble High Court directed Board to examine the matter and pass appropriate order at its earliest convenience.
(ii) The issue has been examined. Exercise Books have been explained in HSN under explanatory note (2) to Heading 48.20 as, “These may simply contain sheets of lined paper but may also include printed examples of handwriting for copying in manuscript”. Such exercise Books are specifically classified under heading 4820 of the erstwhile CETA, 1985. These are nothing but stationary items having blank pages with lines for writing and may also include printed texts for copying manually. In common par

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s for completion in manuscript)…” Thus, printed work books containing questions followed by spaces for writing or other exercises would fall within the scope of Chapter 49. The said goods are different from Exercise Books falling under Chapter 48 which are stationary items with blank pages with lines for writing and some time may also include printed texts for copying manually, as explained in the preceding para. Further, since printing in case of printed workbooks is not merely incidental to the primary use of the of the goods, such goods are classifiable under Chapter 49, in terms of Chapter note 12 to Chapter 48 of erstwhile CETA, 1985.
(iv) Similarly, HSN Chapter note (6) to Chapter 49 read with HSN explanatory note under heading 49.03 covers children's workbooks consisting essentially of pictures with complementary texts, for writing or other exercises, and children's drawing or colouring books, provided the pictures form the principal interest and are not subsidiary to the tex

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e main issue for decision in this case is whether the books 'Sulekh Sarita Part-A', 'Sulekh Sarita Part-B' and 'Sulekh Sarita Part 1-5' are classifiable as 'Printed Books' falling under HSN 4901 or as children's 'Drawing Books' under HSN 4903 or as 'Exercise Books' under HSN 4820.
36. The HSN notes for Heading 4820 reads as under:
48.20- Registers, account books, note books, order books, receipt books, letter pads, memorandum pads, diaries and similar articles, exercise books, blotting-pads, binders (loose-leaf or other), folders, file covers, manifold business forms, interleaved carbon sets and other articles of stationery, of paper or paperboard; albums for samples or for collection and book covers, of paper or paperboard.
4820.20 – Exercise books
(2) Exercise Books. These may simply contain sheets of lined paper but may also include printed examples of handwriting for copying in manuscript.
Educational workbooks, sometimes called writing books, with or without narrative texts,

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y works of all kinds, text-books (including educational workbooks sometimes called writing books), with or without narrative texts, which contain questions or exercises (usually with spaces for completion in manuscript); technical publications; books for reference such as dictionaries, encyclopaedias and directories (e.g., telephone directories, including “yellow pages”): catalogues for museums and public libraries (but not trade catalogues); liturgical books such as prayer books and hymn books (other than music hymn books of heading 49.04); children's books (other than children's picture, drawing or colouring books of heading 49.03). Such books may be bound (in paper or with soft or stiff covers) in one or more volumes, or may be in the form of printed sheets comprising the whole or a part of the complete work and designed for binding.
Heading 4901 also covers:
Bound picture books (other than children's picture books of heading 49.03).
The heading 49.01 further excludes:
(a) ….

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the sense of stories is conveyed by a series of episodal pictures, accompanied by captions or summary narratives related to the individual pictures. It also includes children's workbooks consisting essentially of pictures with complementary texts, for writing or other exercises.
This heading also includes children's drawing or colouring books. These consist mainly of bound pages (sometimes in the form of detachable postcards) containing simple pictures for copying, or outlines of pictures, with or without printed instructions, for completion by drawing or colouring; sometimes coloured illustrations for guidance are incorporated. They also include similar books with “invisible” outlines or colour which can be made visible by rubbing with a pencil or applying water with a paint brush, and also books in which the small amounts of water colour required for colouring are contained in the books (e.g., in the form of a palette).
39. The issue of classification of text books and printed wor

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ues, prayer books etc. The heading 49.01 specifically covers educational workbooks or writing books.
(ii) Heading 49.03: This heading generally covers children's picture, drawing or colouring books wherein pictures form the principal interest in the books.
(iii) Heading 48.20: This heading generally covers stationery books. However, exercise books are specifically covered in this heading. Such exercise books may contain simple sheets with printed lines or may even have printed examples of handwriting for copying by the students.
42. In the case of certain goods of heading 49.01 e.g workbooks, there may be space for writing in addition to the printed text but printing is of primary use and space for writing is incidental. On the contrary, in case of certain goods of heading 48.20 e.g. diaries, exercise books, there may be considerable amount of printed matter but the printing is incidental to their primary use of writing by hand.
43. It is observed that the main feature which differ

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their classification under heading 48.20 as exercise books. Further, since, none of the books contain any pages with children's picture, drawing or colouring matter, classification of any of them under heading 49.03 is not possible. Hence, the goods are to be correctly classified under HSN 4820.
46. Regarding, Sections 22, 23 and 24 of CGST Act, 2017 dealing with registration, it is observed that the section 24 deals with compulsorily registration in certain cases. The section 24 requires that if a person is required to pay tax under reverse charge, then he is compulsorily required to get registered. The contention of the applicant that the persons who are engaged exclusively in supply of goods and services that are exempt or not liable to tax shall not be required to take registration is not correct because without registration payment of tax under reverse mechanism would not be possible. The Sections 22, 23 and 24 have to be read together and from the combined reading of the same i

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In Re : Shri Shalesh Kumar Singh
GST
2018 (5) TMI 529 – AUTHORITY FOR ADVANCE RULING – DELHI – 2018 (13) G. S. T. L. 373 (A. A. R. – GST)
AUTHORITY FOR ADVANCE RULING – DELHI – AAR
Dated:- 6-4-2018
Advance Ruling No. 04/DAAR/2018
GST
Pankaj Jain Member (Centre) and Vinay Kumar Member (State)
Present for the Applicant : Shri Prafull Gupta, C.A.
Present for the Revenue (Centre) : Shri Raj Kumar, Assistant Commissioner, Karol Bagh Division, CGST North, New Delhi
Present for the Revenue (State) : Shri Shamsher Singh, Assistant Commissioner, DGST (W-44)
Statement of Facts as per the Applicant:
The applicant is interested in trading of 'Dried Tobacco Leaves' which would be purchased from registered dealer who in return purchases such Tobacco Leaves from Agriculturist / Farmers. Such registered dealer after purchasing it from Agriculturist / Farmers will sell the same to Applicant as it is without any further change in its form.
2.   Applicant aft

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which cleaning and removal of unwanted particles (Bhusa, Dust etc.) has been done would be classified under Tobacco Leaves' or not, if the form and nature of same has still not undergone any change. Whether 'Dried Tobacco Leaves' on which cleaning and removal of unwanted particles has been done would be classified under Tariff Item/Heading 2401 as 'Tobacco Leaves' or 'All goods not specified elsewhere' as mentioned in Notification No. 01/2017  Central Tax (Rate) dated 28.06.2017. 
4.   Determination of the liability to pay tax on goods or services or both:
Whether GST on such 'Dried Tobacco Leaves' on which cleaning and removal of unwanted particles (Bhusa, Dust etc.) has been done without any addition of foreign particles, would be levied @ 5% or 28% under Chapter No. 24 Tariff Item 2401 under Notification No. 01/2017 – Central Tax (Rate) dated 28.06.2017.
Views of The Applicant:
5.   Product to be traded by the ap

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tobacco' and 'manufactured tobacco'. Tobacco leaves being agricultural produce in raw form appears to be in state of unmanufactured tobacco, but they cannot be classified other than tobacco leaves.
9.   Since, ingredients Of tobacco patti and its extract represent the same substance for all purposes, the application of latter to former does not lead to any mixture or compound of two. It was submitted that the issue has now been finally decided by the CESTAT in the case of Yogesh Associates V/s Commissioner of Central Excise, Surat-II wherein it was held that raw leaf of tobacco treated with tobacco solution quimam and other flavours including saffron water – raw tobacco leaf not undergone any irreversible change and remains raw leaf tobacco unmanufactured – mixture too concentrated for comfortable consumption by human beings and fails to meet test of marketability of product as 'chewing tobacco' – classification under Sub-heading 2401.10 of Central Excise

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7-CX. 3, dated 23.06.1987 upholds the view.
RELEVANT PROVISIONS:
11.   S. No. 28 of FAQs on GST Rate-II dated 03.08.2017 and S. No. 42 of CBEC Circular F.No. 332/2/2017-TRU dated December 2017:
S. No.
Question
Answer
28./42.
Tobacco leaves falling under heading 2401 attracts 5% GST on reverse charge basis in respect of supply by an agriculturist. What is the meaning of tobacco leaves?
For GST rate of 5%, tobacco leaves means leaves of tobacco as such or broken tobacco leaves or tobacco leaves stems.
12.   Notification No. 1/2017-central Tax (Rate) dated 28.06.2017:
Schedule 1-2.5%
S. No.
Chapter/Heading/Sub-heading/Tariff Item
Description of Goods
(1)
(2)
(3)
109.
2401
Tobacco leaves
 
Schedule IV-14%
S. No.
Chapter/Heading/Sub-heading/Tariff Item
Description of Goods
(1)
(2)
(3)
13.
2401
Unmanufactured tobacco; tobacco refuse (other than tobacco leaves)
13.   Chapter 24 of HSN: Tobacco and manufactured tobacco subs

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which undergoes spontaneous ageing after packing.
Tobacco so treated is packed in bundles, bales (of various shapes), in hogsheads or in crates. When so packed, the leaves are either aligned (Orient) or tied in hands (several leaves tied together with a band or with another tobacco leaf), or simply left as loose leaves. They are always tightly compressed in order to ensure preservation.
In some cases, in addition to (or instead of) fermentation, flavouring or moistening substances are added (casing) in order to improve the aroma or keeping qualities.
14   HSN Notes for heading 24.01:
24.01- Unmanufactured tobacco; tobacco refuse.
2401.10 – Tobacco, not stemmed/stripped
2401.20 – Tobacco, partly or wholly stemmed/stripped
2403.30 – Tobacco refuse
This heading covers:
(1)   Unmanufactured tobacco in the form of whole plants or leaves in the natural state or as cured or fermented leaves, whole or stemmed/ stripped, trimmed or untrimmed, broken or cut (includin

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substitutes in any proportion, for example, manufactured tobacco for use in pipes or for making cigarettes.
(2)   Chewing tobacco, usually highly fermented and liquored.
(3)   Snuff, more or less flavoured.
(4)   Tobacco compressed or liquored for making snuff.
(5)   Manufactured tobacco substitutes, for example, smoking mixtures not containing tobacco. However, products such as cannabis are excluded (heading 12.11).
(6)   “Homogenised” or reconstituted” tobacco made by agglomerating finely divided tobacco from tobacco leaves, tobacco refuse or dust, whether or not on a backing (e.g., sheet of cellulose from tobacco stems), generally put up in the form of rectangular sheets or strip. It can be either used in the sheet form (as a wrapper) of shredded/chopped (as a filler).
(7)   Tobacco extracts and essences. These are liquids extracted from moist leaves by pressure or prepared by boiling waste tobacco in water. They are

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the same will be covered in S. No. 109 of Schedule-I of Notification No. 1/2017 – Central Tax (Rate) dated 28.06.2017, being 'tobacco leaves' or the same will be covered under S. No. 13 of Schedule-IV of the said Notification which covers 'Unmanufactured Tobacco and Tobacco Refuse (other than tobacco leaves)'.
19.   To understand the goods proposed to be supplied, and applicable rate of GST, the process of harvesting, curing, fermentation etc. of tobacco leaves and meaning of various terms used in the HSN, relevant Notification and Circular issued by CBEC have been discussed as under:
20.   Harvesting of tobacco: Harvesting is the process of collecting tobacco leaves from the field at the time when leaf maturity has reached its desired stage. Harvesting can be done by either manual or mechanical means. Tobacco can be harvested in several ways. If the entire plant is harvested at once by cutting off the stalk at the ground with a sickle it is called

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isture is removed by opening vents in the roof and/or opening side walls that are specially constructed for this purpose. For the most part, air-cured tobacco is dried with natural heat; however, humid weather conditions may require a limited amount of artificial heat. Tobacco that has been air-cured is typically brown in colour.
(ii) Fire-curing: A method of curing, which involves removing all of the natural sap and moisture from tobacco leaves. As its name suggests, this particular method of curing involves exposing tobacco to the heat and smoke of open fires; doing so allows the leaves to absorb the aromatic substances in the smoke, which will in turn affect the tobacco's taste. The type and age of the wood, as well as the duration of the tobacco's exposure to the smoke, all affect the tobacco's taste, Which is why these factors vary depending on the end-product that is desired.
(iii)   Flue-curing: A method of curing, which involves removing of the natural s

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There are primarily two types of fermentation, natural fermentation and forced fermentation, with the duration of the process ranging from two days to two months or more. Natural fermentation, sometimes known' as aging, is a chemical reaction caused by moisture and warm temperatures; it occurs when tobacco is packaged in bales or hogsheads. Natural fermentation generally gives tobacco a more uniform colour and a milder taste. Forced fermentation involves placing tobacco in huge stacks so that the chemical reaction caused by the moisture and warm temperatures is intensified by the pressure the tobacco is under. Forced fermentation generally gives tobacco a more uniform colour, as well as a smoother aroma and taste.
24.   Aging: Curing and subsequent aging allow for the slow oxidation and degradation of carotenoids in the tobacco leaf. This produces various compounds in the tobacco leaves that give cured tobacco its sweet hay, tea, rose oil, or fruity aromatic flavour tha

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s broken into small pieces during the processing or manufacturing stages. The scrap results from handling tobacco during processing or during manufacturing, whereas, broken leaf results from handling that occurs prior to processing.
28.   Stalk: The primary stem of an entire tobacco plant.
29.   Stem: A side shoot that extends from the tobacco plant's primary stalk and divides each leaf from its base to its tip. In larger tobacco leaves, the stem must be removed prior to processing. Also known as the midrib.
30.   Stemming: The process of removing stems from tobacco leaves. Also know as stripping.
31.   The applicant has claimed that 'Dried Tobacco Leaves' proposed to be supplied by them are covered under HSN code 2401. It is observed that the heading 2401 of HSN covers Tobacco Leaves and Unmanufactured Tobacco. However, heading 2403 covers 'Manufactured Tobacco'. Hence, to determine the correct classification under HSN, i

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7-TRU dated December 2017 that the said rate of 5% is applicable only on the following three categories of goods.
(i)   Leaves of Tobacco as such;
(ii)   Broken Tobacco Leaves;
(iii)   Tobacco Leaves Stems;
33.   To ascertain whether the 'Dried Tobacco Leaves' after the process of curing are covered in any of the abovementioned three categories of goods, the process of harvesting, curing and meaning of various relevant terms as discussed above have been considered.
34.   It appears that the term 'Leaves of Tobacco as such' would mean leaves obtained by the removal of individual leaves from the stalk by cropping, pulling or priming. However, if any process e.g. curing has been done on the said tobacco leaves, the said leaves would not be covered in this category.
35.   The term 'Broken Leaves' covers only such leaves which are broken during handling before any process like curing is done. However ,

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red as 'unmanufactured tobacco (other than tobacco leaves)'.
38.   Regarding Circular No. 81/5/87 – CX-3 dated 23.06.1987 issued by the Ministry of Finance, .the same is regarding classification of unmanufactured tobacco merely broken by beating and then sieved and packed for consumption as chewing tobacco (Zarda) and it was clarified that the same should be classifiable as unmanufactured tobacco under heading 2401. Hence, the same is not applicable in the present case.
39.   Regarding CESTAT Order in the case of Yogesh Associates V/s Commissioner Central Excise, Surat-II dated 06.09.2005 reported in 2006 (195) E.L.T. 196 (TRI- Mumbai), it was held that application of a solution of quiman (which is tobacco flavoured water) and other flavours including saffron water which admittedly serve no other purpose than to prepare a blend of unmanufactured tobacco for purposes of use in further manufacture of Gutkas/pan Masala, classification under sub-heading 2401.10 of

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M/s. ALUKKA GOLD PALACE Versus STATE TAX OFFICER, DEPUTY COMMISSIONER, DEPARTMENT OF GST, GOODS AND SERVICE TAX NETWORK PVT. LTD GOODS AND SERVICE TAX COUNCIL
GST
2018 (5) TMI 525 – KERALA HIGH COURT – 2018 (16) G. S. T. L. 484 (Ker.)
KERALA HIGH COURT – HC
Dated:- 6-4-2018
WP (C). No. 35333 of 2017
GST
P. B. Suresh Kumar, J.
FOR THE PETITIONER : SRI.HARISANKAR V. MENON
FOR THE RESPONDENT : SMT.THUSHARA JAMES
JUDGMENT
On account of a mistake committed by the petitioner during 2009 in providing the PAN number of another firm for the purpose of obtaining registration under the Kerala Value Added Tax Act ('the Act'), the request of the petitioner for registration under the GST statutes were delayed and were gr

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M/s. KOTHAMANGALAM AGGREGATES Versus KERALA STATE ELECTRICITY BOARD VYDYUTHI BHAVAN
GST
2018 (5) TMI 365 – KERLA HIGH COURT – TMI
KERLA HIGH COURT – HC
Dated:- 6-4-2018
W. P. (C) Nos. 1112, 2221, 2450 & 4034 of 2018
GST
MR. SHAJI P.CHALY J.
BY ADVS.SRI.M.RAMESH CHANDER (SR.), SMT.K.A.SANJEETHA And SRI.BALU TOM
MR. ABHIJITH SURANA., R1 & R2 BY SRI.RAJU JOSEPH SENIOR ADVOCATE, BY SRI.GEORGEKUTTY MATHEW, SC, BY SRI.P.A.AHAMED, SC, R3 BY ADVS. SRI.BOBY MATHEW And SMT.K.MEERA
JUDGMENT
The captioned writ petitions are materially connected in respect of a tender invited by the 1st respondent, Kerala State Electricity Board for supply of 8M and 9M Pre Stressed Concrete Poles (PSC Poles) to the Electrical Circles under Southern and Central Region, for a period of two years, as per Ext.P1 notification dated 28.09.2017. The legal as well as factual contentions raised in the writ petitions are almost typical in nature. For the disposal of the writ petitions, I am relyi

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ocessing, for the reason that, for the manufacture of pre stress concrete poles, the rawmaterials required are cement, steel, coarse aggregates and fine aggregates. When the petitioner sells the PSC Poles to the Board, then GST is imposed, which is known as output GST. When the raw-materials are purchased, there is input credit of GST. However, the GST incurred by the petitioner at the time of purchase of the raw-materials shall be adjusted towards GST payable at the time of sale of Poles and net amount shall be paid to the Government. So also, the input tax credit varies from time to time based on the cost of raw-materials. It was highlighting the said aspect, Ext.P2 letter was issued. However, without hearing the petitioner, the Board issued Ext.P4 corrigendum dated 19.10.2017, informing that, no change in the clauses of tender documents is necessary.
3. It is the case of the petitioner that, as evident from Ext.P4 corrigendum, there is no change either in the general conditions of

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there is violation of the general conditions of contract and special conditions of contract. It is also the case of the petitioner that, the 3rd respondent has submitted documents which were not called for in the tender notice, and therefore, there is a clear violation.
5. Petitioner has produced Ext.P7 attachment given by the 3rd respondent, stating that he has quoted the price after giving the effect of GST credit, which according to the petitioner, is impermissible in accordance with the Instructions to the Bidders as well as the general conditions of contract and special conditions of contract. Therefore, according to the petitioner, the 3rd respondent has violated the basic conditions of the documents by which the 3rd respondent is not technically qualified to participate in the commercial bid. It is thus seeking the following reliefs, the writ petition is filed:
“i) Issue a writ of mandamus or other appropriate writ order or direction directing or compelling the respondents 1

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stated that, the writ petition is not maintainable, since as per the special conditions of contract, petitioner has agreed to approach the civil courts at Thiruvananthapuram in the event of disputes arising pertaining to the contract. Therefore, according to the said respondents, the writ petition is not maintainable under law. The averments contained in various paragraphs with respect to Clause No.B.20 'Taxes', of Ext.P3 special conditions of contract and the violation of the general conditions of contract and the issue with respect to the qualification of the 3rd respondent are all denied by the said respondents. According to the respondents, Clause B.20 is formulated in order to specify fair, logical and transparent conditions to suit their requirements while procuring materials. It is also clearly stipulated that the benefit of the input credit will be passed on to KSEBL as per Sec.171 of CGST Act, and in the very next sentence, it has been stated that, 'any reduction i

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conditions, evident from Ext. R1(a). From Ext. R1(a), it is evident that, in respect of 8m poles except for the Electrical Circle, Kattakkada, 3rd respondent is the lowest one. As far as 9m poles are concerned, except for Electrical Circles, Kollam, Kattakkada and Kottarakkara, the rate quoted by the 3rd respondent is the lowest. There is a marked difference of Rs. 9,63,35,681/-. If the tender is finalized, as per the above stated price bids, the respondents who are an agency or instrumentality of the State, will be benefited to the tune of Rs. 7.23 Crores. According to the respondents, the said amount is arrived at based on the difference in rates quoted by the 3rd respondent and the 2nd lowest, and where 3rd respondent is the L1 after taking into consideration the difference in amount wherever 3rd respondent is the L2, evident from Ext. R1(b). Therefore, according to the respondents, petitioners have not made out any case in order to secure the reliefs sought for in the writ petition

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and Shri. K. Jaju Babu, learned Senior Counsel for the petitioner in W.P.(C) No.2450 of 2018 and the other Advocates appearing for the petitioners in the other writ petitions, Sri. Raju Joseph, learned Senior Counsel appearing for respondents 1 and 2 and also the learned counsel appearing for the 3rd respondent. Perused the documents on record and the pleadings put forth by the respective parties.
11. The paramount contention advanced by learned Senior Counsel for the petitioners is that, as per the Bid specification, Part-I, Pre-qualification bid, Part-B, it was directed to send only the hard copies of agreement in Kerala Government stamp paper as per Appendix IV of General Conditions of Contract along with the Bid form (Part-III, Annexure-II) in Kerala Government stamp paper. But it is noticed that the 3rd respondent has submitted many other documents as hard copies, which discusses about price. It is also the contention that, mention of price details at any place other than the de

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e 14 of Section-A (Bid specifications Part-II, Instruction to Bidders), the indication of price anywhere else other than in price bid (BOQ) will render the tender invalid and will be liable to be rejected. Therefore, according to the learned Senior Counsel, Ext.P7 enclosure produced along with the bid is violative of clause 14. It is also the case of the learned Senior Counsel that, as per clause 15 of Section-A, conditional offers are liable to be rejected, and therefore, the bid submitted by the 3rd respondent ought to have been rejected by the Board. Other arguments are also advanced in tune with the pleadings made in the writ petition.
13. Yet another contention advanced is that, the 3rd respondent does not have sufficient water tanks for water dipped curing of poles as per the specification of KSEB Ltd., except one small tank they have constructed recently to satisfy the pre-qualification condition. That apart, it is contended that, the 3rd respondent is not having sufficient 9M

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ention for the petitioners that the 3rd respondent has violated the special conditions of contract and the only contention is that, they have added Ext.P7 along with the bid document, which is in no way causing any manner of prejudice to the petitioners or violating the terms and conditions contained in the special conditions of contract and the general conditions of contract.
16. It is also submitted that, so far as respondents 1 and 2 are concerned, when a price is quoted by the tenderer, it is the price in commensurate with the tender conditions, and therefore, even if Ext.P7 is submitted by the 3rd respondent, the same can be ignored by the Board. So also, it is contended that, the price difference is more than Rs. 7 crores from the second lowest bidder, as per the calculations specified and quoted above. Learned counsel appearing for the 3rd respondent also advanced contentions in tune with the contentions advanced by respondents 1 and 2.
17. I have evaluated the submissions mad

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implication with respect to the terms and conditions of the contract, and respondents 1 and 2 are entitled to overlook the same and consider the bid submitted by the respective parties.
18. Clause 14 of Section-A stipulated that: “The indication of price anywhere else other than in the price bid (BOQ) will render the bid invalid and will be liable to be rejected”. Therefore, the said stipulations are also specific and clear to the effect that, what is prohibited is indication of price anywhere else other than in the price bid. Therefore, merely Ext.P7 communication is issued by the 3rd respondent, “that the effect of GST credit to be availed has been taken in account in the quoted price” will not in any manner interferes with clauses 14 and 15 of Section-A. Clause 21 stipulates that: “No deviations will be accepted”. There is no case for the petitioners that there is any deviation on the part of the 3rd respondent from the Instructions to Bidders, special conditions of contract or ge

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ally agrees to bear will be admitted at the rates applicable at the time of delivery, on the basis of an undertaking on Kerala Government stamp paper worth Rs. 500/- from the supplier in the following format:
“P.O. No………………………..dated …………….(Name & address of firm) hereby agrees that if any dispute on payment of taxes from concerned tax authorities occurs in future, the firm shall indemnify the KSEB Limited from such liabilities and supplier will be liable for the additions, loss or cost on account of such discrepancies/dispute”. The benefit of input tax credit will be passed on to KSEB Limited as per Section 171 of CGST Act. Any reduction in rates of tax on any supply of goods or services or the benefit of input tax credit shall be passed in to the recipient by way of commensurate reduction in prices. KSEB Limited is a registered dealer under the Goods and Service Tax Act. GST identification Number (GSTIN) of KSEB Limited in 32AAECK2277NBZ1.”
21. So far

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values of Whole Sale Price Index Number for Manufacture of Basic Metals (published by IEEMA) and Consumer Price Index Number (published by the Department of Economics and Statistics) during the month under consideration, from its values on the due date of tender.
Price variation will be given for the poles supplied as per the monthly delivery schedule (monthly supply less than or equal to monthly target/allocation) at the rates applicable for the actual month of supply.
Price variation for the monthly supply in excess of the monthly target to meet the quarterly target will be applicable at the rate of actual month of supply or scheduled month of supply (within the quarter), whichever is lower.
Price variation will be given for the excess poles supplied in a quarter (poles supplied in excess of quarterly target) at the rates applicable for the actual month of supply, only if the supply is made as per the written allocation given by the respective consignees of the Electrical Ci

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onsidered opinion, the General Conditions of Contract will have to be taken into account and read along with the special conditions of contract. First of all, there is no price variation clause put forth by the 3rd respondent. As I pointed out earlier, in Ext.P7, the 3rd respondent has specified an aspect with respect to the GST billing. From Section-A Instructions to Bidders, it is evident that if any communication from a contractor is not acceptable to the Board, it can be ignored by the Board. Even though a case is projected by the petitioners that the tender offered by the 3rd respondent is subject to conditions of verification of the documents, it cannot be said that the tender made by the 3rd respondent is conditional in nature. It is also clear that no manner of prejudice is caused to the petitioners on that account, especially due to the fact that such a course of action adopted by the 3rd respondent is not egregiously violative of the tender conditions.
23. When this writ pet

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Saluja Transport Co Versus. CGST C.E And C. C-Bhopal
Service Tax
2018 (4) TMI 1243 – CESTAT NEW DELHI – TMI
CESTAT NEW DELHI – AT
Dated:- 6-4-2018
Appeal No. ST/52969-52974/2014(DB) – 51276-51281/2018
Service Tax
Mr. Justice (Dr.) Satish Chandra, President And Mr. V. Padmanabhan, Member(Technical)
Shri Kumar Vikram, Ld. Advocate for the appellant
Shri G.R. Singh, DR for the Respondent
Per: Justice (Dr.) Satish Chandra:
1. The present appeal is filed against the Order – in – Original No. 6 – 11/201 2 dated 15/10/2012.
2. Brief facts of the case are that the appellant is providing services of shifting and transportation of the coal for M/s Western Coalfields Ltd from pitheads to railway sidings.
3. Such activiti

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act is not under dispute that the appellant provided the service of transportation of coal within the mining area to M/s. SECL and that such service receiver had deposited the service tax under the taxable category of goods transport agency service. Further, the show cause notice in this case was issued, seeking confirmation of Service Tax demand under cargo handling service, whereas both the authorities below have changed the classification of service and confirmed the Service Tax demand under different head of service i.e. mining service. It is evident that the authorities below have travelled beyond the scope of the show cause notice, which is not sustainable as per the settled principles of law enunciated by the judicial forum, which ar

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K.C. Pappu & Sons Versus State of Kerala, The Assistant Sales Tax Officer, State Good & Services Tax
GST
2018 (4) TMI 1216 – KERALA HIGH COURT – [2018] 2 GSTL 76 (Ker)
KERALA HIGH COURT – HC
Dated:- 6-4-2018
WP (C). No. 12152 of 2018
GST
P. B. Suresh Kumar, J.
For the Petitioner : Sri. Babu Paul
For the Respondent : Smt. Thushara James
JUDGMENT
Petitioner seeks release of the goods detained by the second respondent under Section 129 of the Central Goods and Services Tax

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M/s Lal Steels (P) Ltd. Versus The asst. Commissioner, State GST Department, Palakkad
GST
2018 (4) TMI 1143 – KERALA HIGH COURT – [2018] 2 GSTL 77 (Ker)
KERALA HIGH COURT – HC
Dated:- 6-4-2018
W. P. (C). No. 12059 of 2018
GST
MR. P. B. SURESH KUMAR, J.
For The Petitioner : Sri. Harisankar V. Menon Smt.Meera V. Menon Smt.K.Krishna
For The Respondents : Smt. Thushara James
JUDGMENT
Petitioner seeks release of the goods detained by the second respondent under Section 129

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Clarification on issues related to furnishing of Bond/Letter of Undertaking for exports – Reg.
40/14/2018 Dated:- 6-4-2018 CGST – Circulars / Ordes
GST
Circular No. 40/14/2018-GST
F. No. 349/82/2017-GST
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes and Customs
(GST Policy Wing)
***
New Delhi, April 6, 2018
To,
The Principal Chief Commissioners / Chief Commissioners / Principal Commissioners/ Commissioners of Central Tax (All) / The Principal Director Generals / Director Generals (All)
Madam/Sir,
Subject: Clarification on issues related to furnishing of Bond/Letter of Undertaking for exports – Reg.
Various communications have been received from the field formations and e

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(ARN), is generated online.
d) Documents for LUT: No document needs to be physically submitted to the jurisdictional office for acceptance of LUT.
e) Acceptance of LUT/bond: An LUT shall be deemed to have been accepted as soon as an acknowledgement for the same, bearing the Application Reference Number (ARN), is generated online. If it is discovered that an exporter whose LUT has been so accepted, was ineligible to furnish an LUT in place of bond as per Notification No. 37/2017-Central Tax, then the exporter's LUT will be liable for rejection. In case of rejection, the LUT shall be deemed to have been rejected ab initio.”
3. It is requested that suitable trade notices may be issued to publicize the contents of this Circular.
4. Difficu

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Treatmemt of Rent/ hire of machinery
Query (Issue) Started By: – BIBHUTIBHUSAN PATTANAIK Dated:- 5-4-2018 Last Reply Date:- 7-4-2018 Goods and Services Tax – GST
Got 2 Replies
GST
Sir
sub-
A reg. dealer having machine want to let out his machine to a Reg dealer, how can i give effect in both parties
Reply By Ganeshan Kalyani:
The Reply:
Sec 7(a) of CGST Act, 2017 states as, " all forms of supply of goods or services or both such as sale, transfer, barter, exchange, licen

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Validity of Letter of Undertaking (LUT)
Query (Issue) Started By: – Venukumar HJ Dated:- 5-4-2018 Last Reply Date:- 5-5-2018 Goods and Services Tax – GST
Got 6 Replies
GST
Dear All,
Please clarify me.
We are having letter of undertaking valid up to 30th June 2018. I read some where 2017-18 LUT is valid up to 31st March, 2018. for the year 2018-19, we have to apply for new LUT in April 2018 itself, still our old LUT valid till 30th June 2018.
Thanks,
Regards,
Venu
Reply By KASTURI SETHI:
The Reply:
If online facility in Common Portal System is operative, prefer apply afresh. Second choice is manual. Since LUT filed manually is valid till 30.6.18, no need to file afresh manually.
Manual filing is viable/required only in

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t further clarified that no documents are required to be physically submitted to the jurisdictional office for acceptance of LUT. The Circular also stated that if an exporter's LUT has been accepted and later if it was discovered that the exporter was ineligible to furnish a LUT in place of a bond, then the LUT will be liable for rejection and such LUT shall be deemed to have been rejected from the very beginning.
The Circular was issued upon receiving various queries from the field formations and exporters regarding a technical glitch that the LUTs submitted via online in FORM GST RFD-11 on the common portal were not visible to the jurisdictional officers of the Central Board of Indirect Taxes and Customs (CBIC) and of a few states.
Repl

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Court Directs First Respondent to Act Promptly on Advance Ruling u/s 97(1) of Kerala GST Act.
Case-Laws
GST
Inaction on the part of the first respondent in taking a decision – advance ruling

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Form C Usage Unaffected by GST: No Restriction to Six Items Under CST Act Section 8 & Rule 12.
Case-Laws
VAT and Sales Tax
The provisions of Section 8 of the CST Act, Rule 12 of CST (R&T) Rules and declaration Form C have not undergone any amendment after the implementation of the GST laws. There cannot be any occasion to restrict the usage of ‘C’ Form only for the purposes of re-sale of the six items mentioned in the amended definition of ‘goods’ in Section 2 (d) of the CST Act

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