In re JCP Agro Process P Ltd. (GST AAR Gujarat)
In case of purchase of tobacco leaves/bhukko from the agriculturist, the applicant is liable to pay GST on RCM basis at 5% [2.5% CGST and 2.5% SGST] in terms of[Notification No. 1/2017-Central Tax (Rate), dated 28-6-2017], Sr. No. 109 of Schedule I.
Applicant is liable to pay GST on forward charge basis at 5% [2.5% CGST and 2.5% SGST] in terms of [Notification No. 1/2017-Central Tax (Rate), dated 28-6-2017], Sr. 109 of Schedule I, in respect of trading of tobacco leaves/bhuk_ko, procured from agriculturist, subject to the condition that they are engaged in trading of tobacco leaves/bhukko, procured from agriculturist, on as such basis i.e. without undertaking any further process on the same
In case of supply of unmanufactured tobacco leaf consequent to coating the same with natural edible gum, the applicant is liable to pay GST at 28% [14 % CGST and 14 % SGST] in terms of [Notification No. 1/2017-Central Tax (Rate), dated 28-6-2017], Sr. No. 13 of Schedule IV. However, it is made clear that in case of supply of the said coated tobacco to the customers in gunny bag with their name being printed/mentioned on the gunny bags so as to identify the lot, then the applicant would be liable to pay GST at 28% [14 % CGST and 14 % SGST] in terms of [Notification No. 1/2017-Central Tax (Rate), dated 28-6-2017], Sr. No. 13 of Schedule IV, along with 71% compensation cess in terms of [Notification No. 1/2017-Central Tax (Rate), dated 28-6-2017] (Sr. No. 5).
The applicant is liable for payment of GST at the rate of 12 % (6% CGST and 6% SGST) in terms of Notification No. 20/2019-C.T. (Rate), dated 30-9-2019on the job work process of coating, done in respect of tobacco leaves supplied by other registered persons.
FULL TEXT OF THE ORDER OF AUTHORITY FOR ADVANCE RULING, GUJARAT
M/s. JCP Agro Process P Ltd, 358/2, Alkapuri Society, 36, Nr. Tower, Khadiyat, Kavitha, Anand-388545[for short –`applicant’] is registered under GST and their GSTIN is 24AAFCJ1399D I ZO.
2. The applicant, is engaged in the activity of procuring raw tobacco from farmers and consequent sale of unmanufactured ,tobacco.
3. The summary of the activity undertaken by the applicant, from the facts as mentioned in his application is as under viz:
