VARIOUS AAR AUTHORITY

DECISIONS

By CA SACHIN JAIN
{ACA,CS.LLB,B.COM(HONS.)}
Contact : 9829760308
Mail : casachin61@gmail.com
FLOW OF DISCUSSION :
About Applicant
Question
Facts
Submission
Finding
1. M/S BG ELEVATORS AND
ESCALATORS PRIVATE LIMITED :

 About Applicant :

Private Limited
Company

Trading/erection/commissioning of
lifts & elevators

Domestic & Commercial Use Both

 Question :

Rate of Tax ??

 Facts :

Currently Company Charging GST @ 18%

Question Related to Rate of GST hence admitted

 Submission :

Competitors charging GST @ 12%

no supporting agreement submitted

only invoice copy submitted
 Finding :

examine the classification

SAC 995466 deals with lift and escalator

installation services

hence SAC 995466

as per rate notification 11/2017 dated 28.06.2017

rate of GST @18% for residence , Mall or Shopping

Complex
2. M/S OLETY LANDMARK APARTMENT
OWNER’S ASSOCIATION
 about applicant :
Non Profit Making Residents Welfare
Association

Formed By

Flat Owner’s

Purpose : Maintaining and Managing the common Areas & Facilities

Registered Under : Karnataka Apartment Ownership Act, 1972 and GST

 Question :

regular maintenance

periodic upkeep of structure of

building and repair and replacement
of major equipment

for which

collect amount for planned and unplanned

capital outlay in future

accounts separately maintained

and fund used for specific purpose

kya iss specific fund pe GST charge hoga ??

 Facts :
Question related to GST charged or not hence admitted.

 Submission :
bye laws provide for collection of
deposits from members

in the form of sinking fund

to meet certain planned and unplanned

events hence no contract but mandated by
bye laws

section 9 of CGST Act says amounts received

become taxable only when such amounts are received
as consideration for supply of goods or services both.

in simple words section 2(31)says:

consideration = actual goods or services supply or promise to supply

in this case amount received for future

planned and unplanned events
hence no supply of goods or service hence not liable to tax.
 Finding :
No GST on deposits but
GST shall be charged on advances
in case of services

as per agreement 10000 rupees per year

collected for sinking fund no refund provisions exist

hence treated as advances as per section 13(2)(a) ..

time of supply:
date of invoice or payment
(whichever is earlier)

in this case GST Shall be charged on advances

now what about rate of GST ??

SAC applicable 9995
Hence rate of GST @ 18%
3. M/S KUNAL STRUCTURE INDIA PRIVATE
LIMITED :
 About Applicant:
Private Limited Company
Supplying Construction
Services

 Question :
Rate of Tax ??
 Facts :
Construction Contract
Deendayal HITES LTD.
upadhyaya (Govt.
govt. medical Enterprises)
college rajkot

Rate
of Sub
GST ?? Contract

Kunal
Structure
 Notification number 1/2018 dated 25.01.2018 :

 sub contractor charges GST @12% with effect

from 25.01.2018 in case of main contractor
supplying services to Central Government, State
Government, union territory, local authority,
government authority, government entity.

prospective basis applicability

 Now Question is that 25.01.2018 se pahle bhi

12% GST charge kar sakte hain kya ??
Finding :
notification effective from
when notified or published
unless specifically mentioned

Notification number 1/2018 – No date Mentioned

for Applicability hence Effective from 25.01.2018

 Prior to 25.01.2018 - GST @ 18% Charged

 From 25.01.2018 – GST @ 12% Charged
4. HADI POWER SYSTEM :
 About Applicant :
Proprietary Concern
Registered Under GST

Business : execution of works contract relating

to electrical works and electrical
infrastructure.

 Question :
Concessional Rate of GST ??
  Facts :

Construction
Karnataka Neeravari Nigam Limited Contract
M/s Ocean Construction (india) Pvt. Ltd.

Sub Electrical
Contract Work

Hadi
M/s Shaaz
Power Part of electrical Electricals
System
work Sub - Contract
 Submission :

Sub contact received from

main contractor and main contractor
. supplying to government entities

and GST rate is 12%

as per notification No.1/2018 dated 25.01.2018

 Finding :

 Notification No. 1/2018 only applicable in case of sub-

contract or not in case of sub contractor to the contractor
.
 Activity of applicant not covered under entry 3(vi) of
Notification No. 11/2017 hence rate of tax @18%.
5. UNREGISTERED APPLICANT :
 About Applicant :
Unregistered person renting building
to department of backward classes welfare.

 Question :
Taxable or Not ??
 Facts :
Renting of Building Department of backward Class welfare

Unregistered
Person
 Submission :
he is doing for Welfare of weaker section

hence covered under article 243 G

of constitution of India

hence not liable for

taxability

 Finding :
As per notification No. 12/2017
dated 28.06. 2017 welfare activities Covered .
. under article 243 G hence

As per entry No. 3 of notification

Number 12/ 2017 these services has been exempt
. hence has not been taxable