No GST Payable For Movement Of Goods Between Two Units Working Under Same GSTIN: Rajasthan AAR

The Rajasthan Bench of Authority of Advance Ruling, consisting of Vikas Kumar Jeph and M.S. Kavia has ruled that GST is not payable on the movement of goods between two units working under the same GSTIN.The applicant is in the business of manufacturing Thermocol, PET Bottles, Tableware, Kitchenware & Tiffin, Toilet ware, Plastic Casseroles, Steel Household, Plastic Chairs, and Flasks. The applicant has been availing input tax credit on capital goods, inputs as well as input services ...

Tax Cases Weekly Round-Up: 12 June To 18 June, 2022

Delhi High CourtDelhi High Court Quashes Assessment Order For Not Giving Opportunity To File Objection To SCN Case Title: Jindal Exports and Imports Private Limited Vs DCIT The Delhi High Court bench of Justice Manmohan and Justice Dinesh Kumar Sharma has quashed the assessment order as the assessee was not given an opportunity to file an objection to the show cause notice. Underreporting Of Income Due To Re-Computation Of Disallowance By The AO, Does Not Amount To Misreporting Of...

No GST Payable On Reimbursement Of Stipend Paid To Trainees: AAR

The Maharashtra Authority of Advance ruling (AAR) has ruled that GST is not payable on the reimbursement of stipend paid to trainees by industry partners.This Applicant, M/s Patle Eduskills Foundation is in the business of Human Resource & Skill Development and is a facilitator under the National Employability Enhancement Mission (NEEM Scheme) of the Government of India. The primary objective of the NEEM Scheme, notified through the All India Council of Technical Education (AICTE),...

18% GST payable On PV DC Cables: Maharashtra AAR

The Maharashtra Authority of Advance Ruling (AAR), consisting of Rajiv Magoo and T.R. Ramnani, has ruled that 18% GST is payable on PV DC cables. The applicant is in the business of manufacturing and supplying solar cables, commonly known as photo-voltaic DC cables (PVDC cables) under various brand names. The cables are made from copper conductors with cross-linked polyolefin (XLPO) insulation and are used between solar modules and inverters in a photovoltaic system. The applicant...

ITC Admissible On GST Paid On GTA Service Despite Vehicles Travelling Empty in Return Journey: AAR

The Gujarat Authority of Advance Ruling (AAR) has ruled that the Input Tax Credit (ITC) is admissible on GST paid on goods transport agency (GTA) service supplied to it, despite refrigerated vehicles travelling empty during the return journey. The applicant, Vadilal, is in the business of supplying ice-cream in various states in addition to the supplies in Gujarat State. For transporting the goods to places located in different states, Vadilal has been using refrigerated vehicles...

GST Payable On Receipt Of Gratuitous Payment From Outgoing Member: AAR

The Maharashtra Authority of Advance Ruling (AAR) consisting of T.R. Ramnani and Rajiv Magoo has ruled that GST is payable on receipt of gratuitous payment from outgoing members. The applicant is a co-operative housing society registered under the Maharashtra Co-operative Housing Society Act (MCHS Act) having 48 flats which charges its members maintenance charges as per flat towards maintenance and upkeep of its premises. When there is a transfer of a flat, the outgoing member...

GST Not Payable On Monthly Collection Not Exceeding Rs.7500 Per Member Of RWA: AAR

The Telangana Authority of Advance Ruling (AAR) consisting of B. Raghu Kiran and S.V. Kasi Visweswara Rao has ruled that GST is not payable on monthly collection not exceeding Rs. 7500 per member of the Resident Welfare Association (RWA). The applicant, M/s. Jayabheri Orange County Owners Association, is a Resident Welfare Association (RWA) collecting monthly maintenance charges, a certain annual fee by name sinking fund, and charges for electricity used in common areas. The...

GST Payable On Medical Health Insurance Premium For Employees: AAR

The Telangana Authority of Advance Ruling (AAR) consisting of B. Raghu Kiran and S.V. Kasi Visweswara Rao has observed that GST is payable on medical health insurance premiums for employees. The applicant, M/s. Hyderabad Metropolitan Water Supply and Sewerage Board, has paid medical insurance premiums to provide health insurance to the employees, pensioners and their family members. The vehicle insurance policy was taken to provide insurance to the vehicles owned by the Board. The...

Tax Cases Weekly Round-Up: 29 May To 4 June, 2022

Karnataka High CourtJust Because The Ratio For Payment Of Service Tax Not Adhered To, Assessee Not Liable To Pay Double Tax As Penalty: Karnataka High Court Case Title: The Vice Chairman Settlement Commission & Anr. versus M/s Zyeta Interiors Pvt. Ltd & Anr. The Karnataka High Court has ruled that merely because the ratio in which service tax was required to be paid by the service recipient and the service provider was not strictly adhered to, the assessee cannot be made...

Supply Of Works Contract Services To Nagar Nigam Attracts 12% GST: AAR

The Gujarat Authority of Advance Ruling (AAR) consisting of Arun Richard and Atul Mehta has ruled that 12% GST is payable on the supply of work contract services to Nagar Nigam. The applicant, M/s Amnex Infotechnologies Private Limited, submitted that Request for Proposal (RFP), issued by the Shahjahanpur Nagar Nigam, Uttar Pradesh, for the selection of a Master System Integrator (MSI) for the implementation of the Intelligent Traffic Management System (ITMS) in Shahjahanpur city....

Sale Of Car By Company After Using It For Business Purpose Attracts 18% GST: AAR

The Gujarat Authority of Advance Ruling (AAR) consisting of Arun Richard and Atul Mehta has ruled that 18% GST is payable on the sale of a car by a company after using it for business purposes.The applicant, M/s. Dishman Carbogen Amcis Limited, purchased a new car for Rs. 80 lakhs on 16-02-2018 for use in its business. The applicant did not avail GST Input Tax Credit at the time of purchase as it is restricted under Section 17(5) of the CGST Act, 2017. Depreciation was claimed under...

Monthly Digest Of Tax Cases: May 2022

Indirect Taxes Supreme Court GST Council Recommendations Not Binding On Centre & States; Both Parliament & State Legislatures Can Legislate On GST : Supreme Court Case Title : Union of India and Anr versus M/s Mohit Minerals Through Director Citation : 2022 LiveLaw (SC) 500 In a significant verdict, the Supreme Court held that the recommendations of the GST council are not binding on the Union and the State Governments. A bench led by Justice DY Chandrachud held...