Background: The Company re-sells pre-developed or pre-designed software, which are made available through the use of encryption keys. Such off-the-shelf software is not developed for any specific client, i.e., it is not customised. Observation: The term “Computer Software” is not defined under the GST law. However, according to the FAQs issued by the Government relating to […]
Query/ies: Whether hand sanitisers can be classified under HSN 3004.90.87 (viz., Antibacterial formulations, not elsewhere specified or included)? Whether hand sanitisers are exempt from GST (since they are classified as an essential commodity under the Essential Commodities Act, 1955)? Observation: From the submissions made, the Authority has opined that the firm is engaged in manufacture […]
Background: The firm purchases land. It converts the land into integrated residential plots with the following facilities: external compound wall, main entry gate, walls separating internal plots, internal roads, plantation surrounding the plots, rain water harvesting system, common bore well, drainage, children play area, club house, underground water supply / electricity connection, swimming pool, garden, […]
Facts: The taxpayer provides the service of storage of agricultural produce. It has taken cold storage facility on lease / rent. Query/(ies): What is the GST implication on the outward supply of storage of agricultural produce? What is the GST implication on the inward supply of leasing / renting of cold storage facility? Observations / […]
Background: The local branch of a foreign company contracted to undertake repairs and maintenance of machinery for an Indian company. Query(ies): Who is liable to pay GST on the aforesaid supply? That is: Should this transaction be treated as supply of service by the foreign company to the Indian company? If so, the Indian company […]
It is erroneous to construe amount of deposits / loans / advances extended as value of service. Rather, interest earned is actual value of supply.
Held: Rectification of errors or omission in Form GSTR-3B should be allowed in the period to which it relates, and not in the period in which it is noticed. Comment(s): For example, if there is an error or omission in Form GSTR-3B filed for April 2019, it should be rectified latest vide Form GSTR-3B filed […]
Supreme Court declined to interfere with High Court’s Order, in favour of assessee unable to file TRAN1 due to technical glitch. However, it kept questions of law open.
Background: Applicant manufactures steel dies, as specified by foreign customer. Without movement of such dies, the applicant invoices the recipient abroad in foreign currency. At the end of useful life, the applicant may sell such dies as scrap in India, as directed by the foreign customer. Alternately, the applicant may export such dies to the […]
Issue: Whether transitional credit can be availed by the assessee, wherein the assessee failed to furnish Form GST TRAN-1 within the time prescribed under the GST law? Background: The Hon’ble High Court of Delhi had ruled in favour of the assessee vide its Order dated May 05, 2020. For a gist of the Hon’ble High […]
Issues: Is the Parliament competent to levy GST compensation cess? Is it permissible to levy both CGST/SGST/IGST & GST compensation cess on the same taxable event? Can CEC paid by the assessee be allowed to be set off against GST compensation cess? Background: Assessee paid Clean Energy Cess (CEC) on coal imported prior to July […]
Background: Appellant proposes to enter into two agreements: (i) for supply of solar power generating system (viz., supply of goods); and (ii) erection, testing and commissioning (viz., supply of services for setting up the system). As per the service agreement, the appellant accepts responsibility for successful completion & commissioning of the plant and 5% of […]
Issue: Is imposition of time limit to avail credit under Section 140(3) of CGST Act harsh/unjust? Isn’t such a condition also arbitrary and discriminatory? Background: Assessee (who was a First Stage Dealer/”FSD” under the erstwhile Central Excise Law) could pass on the credit of excise duty paid on their purchases to the customers, who could utilize […]
Issue: Should the levy of liquidated damages be treated as supply of services by the appellant? Background: Appellant has awarded a contract to Bharat Heavy Electricals Limited for erection, testing & commissioning of a power plant. The contract provides for payment of liquidated damages if project completion is delayed beyond the scheduled date. Ruling: Appellant […]
Issue: Whether facilitating recruitment or enrolment of students to foreign universities is a taxable or zero-rated supply? Background: Applicant facilitates recruitment / enrolment of students to foreign Universities. It is paid commission, based on performance in recruiting students, which is a percentage of tuition fee collected from students enrolled through applicant. Ruling: From the terms […]