No GST Payable By Fair Price Shop Selling Kerosene Oil To Ration-Card Holders: AAAR

The West Bengal Appellate Authority of Advance Ruling (AAAR) has held that no GST is payable by fair-priced shops selling kerosene oil to ration-card holders.The bench of Navneet Goel and Devi Prasad Karanam, while upholding AAR's ruling, has observed that the S.K. oil shop of the dealer under the Kerosene Control Order, 1968, is also a "fair price shop" as commodities, i.e., S. K. oil under the West Bengal Public Distribution System."The appellant is in the business as a holder of a licence...

Incentives Received Under “Atma Nirbhar Gujarat Sahay Yojna” Can't Be Considered As Subsidy, GST Applicable: Gujarat AAAR

The Gujarat Appellate Authority of Advance Ruling (AAAR) has held that incentives received under the “Atma Nirbhar Gujarat Sahay Yojna” dated May 16, 2020, declared by the Gujarat Government could not be considered subsidies, and GST is applicable.The bench of B V Siva Naga Kumari and Sameer Vakil has upheld the AAR's order in which it was held that the incentive received by the appellant, Rajkot Nagarik Sahakari Bank Ltd., is not a subsidy and is liable to GST. The ruling stated that the...

GST Applicable On Education & Training To Commercial Pilots As Per DGCA Syllabus: AAAR

The Uttar Pradesh Appellate Authority of Advance Ruling (AAAR) has ruled that education and training for commercial pilots as per the syllabus of the Directorate General of Civil Aviation (DGCA) are not exempt from GST.The bench of Uma Shanker and Ministhy S., while upholding the ruling of the Authority of Advance Ruling (AAR), noted that the appellant was not empowered to conduct the examination but impart training and issue a completion certificate, which serves the purpose of a document...

18% GST Payable On Target-Based Incentive Received By Intel Reseller: AAAR

The Maharashtra Appellate Authority of Advance Ruling (AAAR), while upholding the Order of the AAR, ruled that 18% GST is payable on target-based incentives received by Intel resellers.The bench of D.K. Srinivas and Rajeev Kumar Mital has observed that The incentive received by the reseller from a US company is not a "trade discount."The appellant is a reseller of Intel Products. The Appellant is having their main place of business in Maharashtra. The Appellant purchases the products from...

Movement Of Goods Between Branches In Different States Taxable Under 'Lease Rental Service': AAAR

The Maharashtra Appellate Authority of Advance Ruling (AAAR) has ruled that the movement of goods between branches in different states is taxable under 'lease rental service'.The bench of D.K. Srinivas and Rajeev Kumar Mital has observed that the movement of equipment from CIPL Karnataka to CIPL Tamil Nadu on the instruction of CIPL Maharashtra cannot be said to be a mere movement of goods not amounting to a supply in terms of Section 7 of the CGST Act, 2017 as the transaction would fall under...

Uttar Pradesh Jal Nigam Is Not A Local Authority: AAAR Denies Concessional Rate Benefit On Works-Contract Services

The Uttar Pradesh Appellate Authority of Advance Ruling (AAAR) has held that Uttar Pradesh Jal Nigam (UPJN) is not a local authority and 18% GST is payable on the works-contract services.The Bench of Uma Shankar and Ministhy S, while upholding the ruling of the Authority of Advance Ruling (AAR) observed that by way of Notification No. 15/2021-Central Tax (Rate) dated November 18, 2021, the lower rate of tax of 12% was restricted to works contracts supplied to the Central Government, State...

Vouchers Are Neither Goods Nor Services, No ITC Available To Myntra: AAAR

The Karnataka Appellate Authority of Advance Ruling (AAAR) has held that input tax credit (ITC) is not available on the vouchers and subscription packages procured by Myntra from third-party vendors.The two-member bench of Ranjana Jha and Shikha C. has relied on the decision of the Karnataka High Court in the case of M/s Premier Sales Promotion Pvt Ltd versus Union of India & Ors., in which it was held that vouchers do not fall under the category of goods and services, and therefore, the...

Setting-Up Naval Communication Network By Subcontractor For BSNL, Attracts 12% GST: Maharashtra AAAR

The Maharashtra Appellate Authority of Advance Ruling (AAAR) has ruled that 12% GST is applicable on setting up the Naval Communication Network as a subcontractor for the Indian Navy on behalf of Bharat Sanchar Nigam Limited (BSNL).The two-member bench of Dr. D. K. Srinivas and Rajeev Kumar Mital, while allowing the appeal, observed that the Navy (under the Ministry of Defense, a central government ministry) has entrusted the BSNL by agreement and work contract to supply, install, and commission...

Permit Issued By Forest Dept. For Coal-Transit Taxable As "Public-Administrative-Services": AAAR

The Telangana Appellate Authority of Advance Ruling (AAAR) has ruled that the permit issued by the forest department for coal transit is taxable as public administrative services.The two-member bench of B.V. Siva Naga Kumari and Neetu Prasad had observed that the supply of permits by the forest department is taxable at the rate of 9% SGST and CGST each under SAC code 9991 (public administration and other services provided to the community as a whole; compulsory social security services) falling...

Administering Of COVID-19 Vaccine By Hospitals Attracts 5% GST: AAAR

The Andhra Pradesh Appellate Authority for Advance Ruling (AAAR) has ruled that hospitals must pay 5% GST when administering the COVID-19 vaccine.The two-member bench of Sanjay Pant and M. Girija Shankar has observed that the administration of the COVID-19 vaccine is not an exempt supply as it is not covered under the definition of "healthcare services." Further held, it is a composite supply wherein the principal supply is the "sale of vaccines" and the ancillary supply is the "service of...

18% GST Applicable On Services Of Project Management Consultancy Services: Maharashtra AAAR

The Maharashtra Appellate Authority for Advance Ruling (AAAR) has ruled that project management consulting services are subject to 18% GST.The two-member bench of D.K. Srinivas and Rajiv Kumar Mittal has upheld the AAR’s ruling and observed that services provided through their professionals are in the nature of professional and technical services as the services provided require technically qualified and trained professionals and staff. Thus, the services provided by the appellant will merit...

GST Exemption On Amount Towards Unparallel Health Insurance Scheme: Maharashtra AAAR

The Maharashtra Appellate Authority of Advance Ruling (AAAR) has ruled that the GST is not applicable on charges collected under an unparalleled health insurance scheme.The two-member bench of Rajeev Kumar Mital and D.K. Srinivas has observed that the fees and other charges received from students and recoupment charges received from patients would constitute consideration for "outward supply."The appellant operates a "medical college" called "Mahatma Gandhi Institute of Medical Science" in...