Food supply to employees of unit in SEZ is not zero rated supply: AAAR

In re Merit Hospitality Services Pvt. Ltd. (GST AAAR Maharashtra)

The Appellate Authority for Advance Ruling held that the services of supplying food by the appellant to the employees of the unit located in the Special Economic Zone is not covered under the zero rated supplies in terms of Section 16(1)(b) of the IGST Act, 2017 and the services of the appellant are also not in the nature of restaurant services in SEZ as claimed by the appellant.

FULL TEXT OF ORDER OF APPELLATE AUTHORITY OF ADVANCE RULING, MAHARASHTRA

At the outset, we would like to make it clear that the provisions of both the CGST Act and the MGST Act are the same except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provisions under the MGST Act.

The present appeal has been filed under Section 100 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017 [hereinafter referred to as “the CGST Act and MGST Act”] by Merit Hospitality Services Pvt. Ltd. (herein after referred to as the “Appellant”) against the Advance Ruling No. ARA-22/2017-18/B-29 dated 05.05.2018.

Please become a Premium member. If you are already a Premium member, login here to access the full content.