Case Law Details
Guwahati Tea Warehousing Association Vs. Union of India (Guwahati High Court)
Guwahati Tea Warehousing Association has filed a Petition in Gauhati High Court against imposition of Goods and Services Tax (GST) on loading, packing, warehousing, etc of processed tea. Case was admitted for hearing on 23.05.2018.
The petitioner’s Association’s challenge herein is the clarification dated 15.11.2017 issued by the Government of India in the Ministry of Finance, Department of Revenue by which it clarified that the processed tea (i.e., black tea, white tea etc) falls outside the definition of agricultural produce given in Notification No. 11/ 2017 and 12/2017 and corresponding notifications issued under IGST and UGST Acts and therefore the exemption from GST is not available to their loading packing warehousing etc. and that any clarification issued in the past to the contrary in the context of Service Tax or VAT/ Sales Tax is no more relevant. The petitioner contended that the Hon’ble Supreme Court in other cases have held that tea is a ‘agricultural produce’ for which such taxe is not applicable.
It was held by Hon’ble High Court that Payment toward GST made by the petitioners’ Association in terms of the impugned clarification F.No.354/173/2017-TRU of Government of India, Ministry of Finance, Department of Revenue dated 15.11.2017 shall be subject to the outcome of this writ petition.
We have attached below the copy of High Court Order dated 23.05.2018
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