Judgement >> AAAR

Advance Ruling No. and Date : GUJ/GAAR/R/15/2021 dated 27.01.2021

Questions before the Gujarat Authority for Advance Ruling [‘GAAR’], Goods and Service Tax:

Question: Can the applicant/appellant use Input Tax Credit Balance available in the Electronic Credit Ledger legitimately earned on the inputs/raw-materials/inward supplies (meant for outward supply of Bullions) towards the GST liability on Castor Oil Seeds which were procured from Agriculturists and subsequently meant for onward supply?

The GAAR has given answer to the question as under:

Answer : The applicant cannot use the Input Tax Credit Balance available in the Electronic Credit Ledger legimately earned on the inputs/rawmaterials/inward supplies(meant for outward supply of Bullions) towards the GST liability on ‘Castor Oil Seed’ which were procured from Agriculturists and subsequently meant for onward supply, for the reasons discussed hereinabove.

AAAR Gujarat - The applicant/appellant can use the Input Tax Credit Balance available in its Electronic Credit Ledger, which has been legitimately earned on the inputs / inward supplies (meant for outward supply of Bullions) for payment of ‘output tax’ (GST) on its outward supply of Castor Oil Seeds.

Held: We hold that payment of output tax on Castor Oil Seeds through utilization of Input Tax Credit taken on Gold & Silver Dore Bars etc. cannot be denied merely on the ground that the inputs have no nexus with outward supply.

Advance Ruling No. and Date : GUJ/GAAR/R/2020/11 dated 19.05.2020

Questions before the Gujarat Authority for Advance Ruling [‘GAAR’], Goods and Service Tax:

“Whether GST is applicable on sale of plot of land for which, as per the requirement of approval by the respective authority (the Jilla Panchayat), primary amenities such as, Drainage line, water line, electricity line, land leveling etc. are to be provided by the applicant?

The GAAR has given answer to the question as under:

Answer: Answered in the Affirmative.

AAAR Gujarat - We confirm the Advance Ruling No. GUJ/GAAR/R/11/2020 dated 19.05.2020 to the extent it has been appealed before us and hold that –

The transaction/activity of the appellant is not covered under Entry No.5 of Schedule-III of the CGST Act, 2017 as it is a sale of developed plots and is a supply of taxable service falling under the head ‘Construction services’ appearing at Sr.No.3 of Notification No.11/2017-Central Tax(Rate) dated 28.06.2017(as amended from time to time) issued under the CGST Act, 2017 and is liable to GST at 18%, for the reasons discussed.

Held : The appeal filed by Shree Dipesh Anilkumar Naik is rejected.

Advance Ruling No. and Date : KAR ADRG 37/2021 dated 30/07/2021

Questions before the Karnataka Authority for Advance Ruling [‘KAAR’], Goods and Service Tax :

“(a) Whether the vouchers themselves, or the act of supplying them is taxable, and at what stage, for each of the three categories of transactions undertaken by the Appellant?

(b) If the answer to the above is in the affirmative, what would be the rate of tax at which this would be taxable i.e what category would this be taxed under?”

The Karnataka AAR vide its order KAR ADRG No 37/2021 dated 30^th .July 2021 held as under:

“The supply of vouchers is taxable and the time of supply in all three cases would be governed by Section 12(5) of the CGST Act, 2017

The rate of tax on the supply of vouchers is 18% GST as per entry no. 453 of Schedule III of Notification No. 01/2017-Central Tax (R) dated 28.06.2017.”

Karnataka AAAR : Having concluded that the vouchers traded by the Appellant are goods and not actionable claims, we hold that the supply of vouchers by the Appellant is a supply of goods in terms of Section 7 of the CGST Act. We are in complete agreement with the ruling given by the lower Authority on the aspect of value of the vouchers for the purpose of GST, the rate of tax and the time of supply of the vouchers by the Appellant. Since the Appellant is not the issuer of the voucher, the provisions of time of supply under Section 12(4) will not apply and the time of supply will be governed by the provisions of Section 12(5) of the CGST Act.

Held : We uphold the order No. KAR ADRG 37/2021 dated 30/07/2021 passed by the Advance Ruling Authority and the appeal filed by the Appellant M/s. Premier Sales Promotion Pvt Ltd stands dismissed on all counts.

Advance Ruling No. and Date : GST-ARA-66/2018-19/B-162 dated 19.12.2018

Questions before the Maharastra Authority for Advance Ruling [‘MHAAR’], Goods and Service Tax :

i. Classification of Engine manufactured by Appellant

ii. Levy of GST on facilitation of common input services, necessity of registering as an 'Input Service Distributor' ('ISD') and determination of assessable value.

Ruling passed by the Maharashtra Authority for Advance Ruling : 

i. Availment of input tax credit on common input supplies on behalf of other unit / units registered as distinct person qualifies as supply and attracts GST.

ii. Assessable value shall be arrived in terms of Rule 30 of the CGST Rules, 2017 (i.e. 110% of the cost of provision of such services).

iii. The Appellant is required to obtain registration as ISD.

Maharastra AAAR: it is evident that the employees of the Appellant's Head Office are working at behest of the Head Office, and not at behest of the Branch Offices/Units. Further, since the Head Office is using all its human resources to facilitate the operational requirements of the Branch Offices/Units by way of procuring common input services on behalf of the Branch Offices/Units. thereby, providing the impugned facilitation services, therefore, allocation and recovery of any amount including its employees salary cost from the Branch Offices/Units will be subject to GST. The Appellant have further contended regarding inapplicability of GST on the allocation and recovery of the salary cost of the Head Office's employee from the Branch Offices/Units owing to the entry I of the Schedule III to the CGST Act. 2017, which stipulates as under: services by an employee to the employer in the course of or in relation to his employment shall neither be treated as supply of Goods nor supply of services. In this regard, it is opined that the above contention put forth by the Appellant is misplaced and erroneous in as much as the impugned transaction of facilitation services are not effected between the employees and the employer, but between the Head Office and Branch Offices/Units. which are distinct units in terms of Section 25(4) of the CGST Act, 2017, and the same is clearly taxable under GST in terms of Section 7 of the CGST Act, 2017. Hence the allocation and recovery of the salary of the employees of the Head Office from the Branch Office/Units will be subject to GST.

Held : Partially modify the ruling passed by the Maharashtra Advance Ruling Authority Vide Order No GST-ARA-66/2018-19 B-162 dated 19.12.2018, and answer the questions, raised by the Appellant in their Appeal filed before us, as under:

1. Whether availment of common input supplies on behalf of other unit/units registered as distinct person and further allocation of the cost incurred for same to such other units qualifies as supply and attracts levy of GST?

Yes, availment of common input supplies from the third-party service vendors/suppliers on behalf of the Branch Offices/Units, registered as distinct persons will qualify as supply of services in accordance with the provision of Section 7(1)(a) of the CGST Act, 2017. However, the cost of the said common input services availed on behest of Branch Offices/Units and allocated to the Branch Offices/Units by the Head Office will not attract the levy of GST as the said costs have been incurred by the Head Office in the capacity of a pure agent of the Branch Offices/Units, and as such, the said cost incurred by the Head Office shall be excluded from the value of supply of the facilitation services.

2.If GST is leviable, whether assessable value can be determined by arriving at nominal value?

The assessable value of the services provided by the Head Office to the branch offices/units can be determined as per the the second proviso to clause(c )of  Rule 28 of the CGST Rules, 2017, which provides that value of the tax invoice will be deemed as the open market value of the services.

3. Once GST is levied and ITC thereof is availed by recipient unit, whether the Applicant is required to register itself distribution of ITC on common input supplies?

Since, the Head Office is not entitled to avail and utilize the credit of tax paid to the third-party service vendors for the common input services received by it on behalf of the Branch Offices/Units as the said common input services received by the Appellant's Head Office are being used or consumed by the Branch Offices/Units in the course or furtherance of their businesses, and not by the Head Office. Therefore, the Appellant is bound to take the ISD registration as mandated by section 24(viii) of the CGST Act, 2017, and comply with all the provisions made in this regard, if it intends to distribute the credit of tax paid on the common input services received by it, on behalf of the branch offices units, to the branch offices/units.

Advance Ruling No. and Date : KER/112/2021 dated 26/5/2021

Questions before the Kerala Authority for Advance Ruling [‘KAAR’], Goods and Service Tax which were ruled as: 

1. Whether banana chips (made out of both raw as well as ripe banana) sold without BRAND NAME are classifiable as NAMKEENS and are covered by HSN code 2106.90.99 and taxable under Entry 101A of Schedule I of Central Tax (Rate) Notification No.1 of 2017?

No. The Banana Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

2. Whether Sharkarai Varatty sold without BRAND NAME is classifiable as SWEET MEAT and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of schedule I of Central Tax (Rate) Notification No.1 of 2017?

No. Sharkara Varatty is classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

3. Whether roasted and salted / salted / roasted preparations such as of ground nuts, cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of Schedule 1 of Central Tax (Rate) Notification No.1 of 2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

4. Whether salted and masala chips of potato and tapioca are classifiable as namkeens and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of Schedule I of Central Tax (Rate) Notification 1 of 2017?

No. The salted and masala chips of Potato and Tapioca are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Kerala AAAR: it is evident that all the products that fall under Chapter Heading 2008 of the Customs Tariff Act, 1975 attract GST at the rate of 12 % [6% CGST + 6% SGST].

Held: 

Q I. Whether banana chips (made out of both raw as well as ripe banana) said without BRAND NAME are classifiable as NAMKEENS and are covered by HSN code 2106.90.99 and taxable under Entry 101A of Schedule I of Central Tax (Rate) Notification No. l of 2017?

No. The Banana Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST – 6% SGST] as per Entry at Sl No. 40 of Schedule II of Notification No. 01 /20L7 Central Tax (Rate) dated 28.06.2017.

Q2. Whether Sharkarai Varatty sold without BRAND NAME is classifiable as SWEET MEAT and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of schedule I of Central Tax (Rate) Notification No. 1 of 2017?

No. Sharkara Varatty is classifiable under Customs Tariff Heading 2008.19.40 and is liable to CST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Q3. Whether roasted and salted / salted / roasted preparations such as of ground nuts, cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of schedule I of CT(R) Notification No. l or 2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01 /2017 Central Tax (Rate) dated 28.06.2017.

Q4. Whether salted and masala chips of potato and tapioca are classifiable as namkeens and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed Entry 101 A of Sch. I of Central Tax (Rate) Notification 1 of 2017?

No. The salted and masala chips of Potato and Tapioca are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl. No. 40 of schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

In nut shell, the Advance Ruling No. KER/112/2021 dated 26/5/2021 of the Advance Ruling Authority, Kerala stands upheld with aforesaid modification and consequently the appeal filed by the appellant is rejected.

Advance Ruling No. and Date : KER/114/2021 dated 26/5/2021

Questions before the Kerala Authority for Advance Ruling [‘KAAR’], Goods and Service Tax which were ruled as: 

1. Whether banana chips (made out of both raw as well as ripe banana) sold without BRAND NAME are classifiable as NAMKEENS and are covered by HSN code 2106.90.99 and taxable under Entry 101A of Schedule I of Central Tax (Rate) Notification No.1 of 2017?

No. The Banana Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

2. Whether Sharkarai Varatty sold without BRAND NAME is classifiable as SWEET MEAT and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of schedule I of Central Tax (Rate) Notification No.1 of 2017?

No. Sharkara Varatty is classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

3. Whether roasted and salted / salted / roasted preparations such as of ground nuts, cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of Schedule 1 of Central Tax (Rate) Notification No.1 of 2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

4. Whether salted and masala chips of potato and tapioca are classifiable as namkeens and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of Schedule I of Central Tax (Rate) Notification 1 of 2017?

No. The salted and masala chips of Potato and Tapioca are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Kerala AAAR: it is evident that all the products that fall under Chapter Heading 2008 of the Customs Tariff Act, 1975 attract GST at the rate of 12 % [6% CGST + 6% SGST].

Held: 

Q I. Whether banana chips (made out of both raw as well as ripe banana) said without BRAND NAME are classifiable as NAMKEENS and are covered by HSN code 2106.90.99 and taxable under Entry 101A of Schedule I of Central Tax (Rate) Notification No. l of 2017?

No. The Banana Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST – 6% SGST] as per Entry at Sl No. 40 of Schedule II of Notification No. 01 /20L7 Central Tax (Rate) dated 28.06.2017.

Q2. Whether Sharkarai Varatty sold without BRAND NAME is classifiable as SWEET MEAT and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of schedule I of Central Tax (Rate) Notification No. 1 of 2017?

No. Sharkara Varatty is classifiable under Customs Tariff Heading 2008.19.40 and is liable to CST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Q3. Whether roasted and salted / salted / roasted preparations such as of ground nuts, cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of schedule I of CT(R) Notification No. l or 2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01 /2017 Central Tax (Rate) dated 28.06.2017.

Q4. Whether salted and masala chips of potato and tapioca are classifiable as namkeens and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed Entry 101 A of Sch. I of Central Tax (Rate) Notification 1 of 2017?

No. The salted and masala chips of Potato and Tapioca are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl. No. 40 of schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

In nut shell, the Advance Ruling No. KER/114/2021 dated 26/5/2021 of the Advance Ruling Authority, Kerala stands upheld with aforesaid modification and consequently the appeal filed by the appellant is rejected.

Advance Ruling No. and Date : KER/105/2021 dated 25/5/2021

Questions before the Kerala Authority for Advance Ruling [‘KAAR’], Goods and Service Tax which were ruled as: 

1. Whether banana chips (made out of both raw as well as ripe banana) sold without BRAND NAME are classifiable as NAMKEENS and are covered by HSN code 2106.90.99 and taxable under Entry 101A of Schedule I of Central Tax (Rate) Notification No.1 of 2017?

No. The Banana Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

2. Whether Sharkarai Varatty sold without BRAND NAME is classifiable as SWEET MEAT and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of schedule I of Central Tax (Rate) Notification No.1 of 2017?

No. Sharkara Varatty is classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

3. Whether roasted and salted / salted / roasted preparations such as of ground nuts, cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of Schedule 1 of Central Tax (Rate) Notification No.1 of 2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

4. Whether salted and masala chips of potato and tapioca are classifiable as namkeens and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of Schedule I of Central Tax (Rate) Notification 1 of 2017?

No. The salted and masala chips of Potato and Tapioca are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Kerala AAAR: it is evident that all the products that fall under Chapter Heading 2008 of the Customs Tariff Act, 1975 attract GST at the rate of 12 % [6% CGST + 6% SGST].

Held: 

Q I. Whether banana chips (made out of both raw as well as ripe banana) said without BRAND NAME are classifiable as NAMKEENS and are covered by HSN code 2106.90.99 and taxable under Entry 101A of Schedule I of Central Tax (Rate) Notification No. l of 2017?

No. The Banana Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST – 6% SGST] as per Entry at Sl No. 40 of Schedule II of Notification No. 01 /20L7 Central Tax (Rate) dated 28.06.2017.

Q2. Whether Sharkarai Varatty sold without BRAND NAME is classifiable as SWEET MEAT and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of schedule I of Central Tax (Rate) Notification No. 1 of 2017?

No. Sharkara Varatty is classifiable under Customs Tariff Heading 2008.19.40 and is liable to CST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Q3. Whether roasted and salted / salted / roasted preparations such as of ground nuts, cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of schedule I of CT(R) Notification No. l or 2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01 /2017 Central Tax (Rate) dated 28.06.2017.

Q4. Whether salted and masala chips of potato and tapioca are classifiable as namkeens and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed Entry 101 A of Sch. I of Central Tax (Rate) Notification 1 of 2017?

No. The salted and masala chips of Potato and Tapioca are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl. No. 40 of schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

In nut shell, the Advance Ruling No. KER/105/2021 dated 25/5/2021 of the Advance Ruling Authority, Kerala stands upheld with aforesaid modification and consequently the appeal filed by the appellant is rejected.

Advance Ruling No. and Date : KER/113/2021 dated 26/5/2021

Questions before the Kerala Authority for Advance Ruling [‘KAAR’], Goods and Service Tax which were ruled as: 

1. Whether banana chips (made out of both raw as well as ripe banana) sold without BRAND NAME are classifiable as NAMKEENS and are covered by HSN code 2106.90.99 and taxable under Entry 101A of Schedule I of Central Tax (Rate) Notification No.1 of 2017?

No. The Banana Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

2. Whether Sharkarai Varatty sold without BRAND NAME is classifiable as SWEET MEAT and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of schedule I of Central Tax (Rate) Notification No.1 of 2017?

No. Sharkara Varatty is classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

3. Whether roasted and salted / salted / roasted preparations such as of ground nuts, cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of Schedule 1 of Central Tax (Rate) Notification No.1 of 2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

4. Whether salted and masala chips of potato and tapioca are classifiable as namkeens and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of Schedule I of Central Tax (Rate) Notification 1 of 2017?

No. The salted and masala chips of Potato and Tapioca are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at SI No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Kerala AAAR: it is evident that all the products that fall under Chapter Heading 2008 of the Customs Tariff Act, 1975 attract GST at the rate of 12 % [6% CGST + 6% SGST].

Held: 

Q I. Whether banana chips (made out of both raw as well as ripe banana) said without BRAND NAME are classifiable as NAMKEENS and are covered by HSN code 2106.90.99 and taxable under Entry 101A of Schedule I of Central Tax (Rate) Notification No. l of 2017?

No. The Banana Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST – 6% SGST] as per Entry at Sl No. 40 of Schedule II of Notification No. 01 /20L7 Central Tax (Rate) dated 28.06.2017.

Q2. Whether Sharkarai Varatty sold without BRAND NAME is classifiable as SWEET MEAT and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of schedule I of Central Tax (Rate) Notification No. 1 of 2017?

No. Sharkara Varatty is classifiable under Customs Tariff Heading 2008.19.40 and is liable to CST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Q3. Whether roasted and salted / salted / roasted preparations such as of ground nuts, cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of schedule I of CT(R) Notification No. l or 2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01 /2017 Central Tax (Rate) dated 28.06.2017.

Q4. Whether salted and masala chips of potato and tapioca are classifiable as namkeens and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed Entry 101 A of Sch. I of Central Tax (Rate) Notification 1 of 2017?

No. The salted and masala chips of Potato and Tapioca are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl. No. 40 of schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

In nut shell, the Advance Ruling No. KER/113/2021 dated 26/5/2021 of the Advance Ruling Authority, Kerala stands upheld with aforesaid modification and consequently the appeal filed by the appellant is rejected.

Advance Ruling No. and Date : KER/115/2021 dated 26/5/2021

Questions before the Kerala Authority for Advance Ruling [‘KAAR’], Goods and Service Tax which were ruled as: 

1. Whether chips made from Jackfruit, Banana (both raw as well as ripe banana), Banana chips (masala), Potato, Tapioca, Chembu and Pavakka and sold without BRAND NAME are classifiable as NAMKEENS and are covered by HSN Code 2106.90.99 and taxable under Entry 101A of 1st Schedule of Central Tax (Rate) Notification 1/2017?

No. The Jackfruit Chips, Banana Chips, Potato Chips, Tapioca Chips, Chembu Chips and Pavakka Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% - CGST + 6% - SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

2. Whether roasted and salted / salted / roasted preparations such as of Ground nuts, Cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 10 IA of Schedule 1 of Central Tax (Rate) Notification 1/2017?

No. Roasted / salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted / roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% - CGST + 6% - SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.

Kerala AAAR: It is evident that all the products that fall under Chapter Heading 2008 of the Customs Tariff Act, 1975 attract GST at the rate of 12 % [6% CGST + 6% SGST].

Held: Q 1. Whether chips made from Jackfruit, Banana (both raw as well as ripe banana), Banana chips (masala), Potato, Tapioca, Chembu and Pavakka and sold without BRAND NAME are classifiable as NAMKEENS and are covered by HSN Code 2106.90.99 and taxable under Entry 101 A of First Schedule of Central Tax (Rate) Notification 1/2017?

No. The Jackfruit Chips, Banana Chips, Potatoto Chips, Tapioca Chips, Chembu Chips and Pavakka Chips are classifiable under Customs Tariff Heading 2008.19.40 and is liable to GST at the rate of 12% [6% - CGST + 6% SGST] as per Entry at Sl. No. 40 of Schedule II of Notification No. 01/2017 Central Tax (Rate) dated 28.06.2017.

Q2. Whether roasted and salted /salted / roasted preparations such as of Ground nuts, Cashew nut and other seeds are NAMKEENS and when sold without a brand name can they be classified under HSN 2106.90.99 and taxed under Entry 101A of schedule I of Central Tax (Rate) Notification No. 1 of 2017?

No. Roasted/ salted / roasted and salted Cashew nuts are classifiable under Customs Tariff Heading 2008.19.10 and roasted / salted/ roasted and salted Ground nuts and other nuts are classifiable under Customs Tariff Heading 2008.19.20 and is liable to GST at the rate of 12% [6% - CGST + 6% - SGST] as per Entry at Sl No. 40 of Schedule II of Notification No.01/2017 Central Tax (Rate) dated 28.06.2017.s

In nut shell, the Advance Ruling No. KER/115/2021 dated 26/5/2021 of the Advance Ruling Authority, Kerala stands upheld with aforesaid modification and consequently the appeal filed by the appellant is rejected.

Advance Ruling No. and Date : RAJ/AAR/2021-22/11 dated 06.09.2021 

Questions before the Rajasthan Authority for Advance Ruling [‘RJAAR’], Goods and Service Tax which ruled as:

Q. Whether the 'Project Management Consultancy' services provided to Rajasthan Urban Drinking Water Sewerage and Infrastructure Corporation (RUDSICO) under Rajasthan Secondary Towns Development Sector Project, where Invoice is raised by the Applicant to the Leading Member, who further raise invoice to RUDSICO of complete amount, can be termed as 'Pure Services' as referred in SI. No. 3 - (Chapter 99) of Table mentioned in Notification No. 12/2017 - Central Tax (Rate) Dated 28/06/2017 and accordingly eligible for exemption from Central Goods and Service Tax and State Goods & Service

Answer: No.

AAAR Rajasthan : A statutory body, corporation or an authority as a judicial entity is separate from the State and cannot be regarded as the Central or a State Government and also does not fall in the definition of 'local authority'. Thus, regulatory bodies and other autonomous entities would not be regarded as the “government” for the purposes of the GST Acts.

Held: We find that holding of equity control of RUDSICO by Jaipur Development Authority and Rajasthan Housing Board cannot be treated as holding of equity control by government. Accordingly, we hold that RUDSICO is not a Governmental Authority. Therefore, appellant is not eligible for exemption under notification no. 12/2017-Central tax (Rate) dated 28.06.2017. Accordingly, appeal filed by the appellant is disposed off.