In re Premier Car Sales Ltd. (GST AAR Uttar Pradesh)
(i)- Whether repair services carried out by the Applicant under the Dealership Agreement with HMIL, to fulfill the warranty obligation of HMIL which also involves supply of parts should be classified as a composite supply of services under Section 2(30) of CGST Act/ Section 2(30)of SGST Act, 2017?
‘Repair services’ carried out by the Applicant under the Dealership Agreement with HMIL, to fulfill the warranty obligation of 1-ML which also involves ‘supply of parts’ can be classified as a `composite supply of services’ under Section 2(30) of CGST/SGST Act, 2017.
(ii)- Whether the entire repair services including supply of spares can be classified under S.No 25 in Notification 11/2017 Central Tax (Rate) dated 28th June, 2017/ parallel Notification issued under SGST Act subjected to tax at the rate of 9% under CGST?
The entire ‘repair services’ including ‘supply of parts’ can be classified under the heading having description of Services as `Repair & Maintenance Service’ which is the `Principal/Predominant Supply’ in a “Warranty Repair Service” as Accordingly, such “Warranty Repair Service with parts/components” appears to be subjected to tax in terms of S. No. 25 in Notification No. 11/2017-Central Tax (Rate) dated 28.06.2017/parallel Notification issued under SGST Act as amended.
