In re Vishalsinh Mahendrasinh Atodariya (GST AAR Gujarat)
The applicant, a registered GST taxpayer engaged in door-to-door garbage collection, supplied fresh waste processing machinery to Anand Nagarpalika after winning a tender for installation of a waste processing plant. The machinery was installed according to tender specifications, and the applicant raised invoices charging GST. The Nagarpalika, however, requested that the applicant seek an advance ruling regarding GST applicability on the supply of machinery to a local authority. The applicant submitted that most machinery supplied fell under HSN 8479 and referred to Notification No. 12/2017-CT(R), which exempts pure services and certain composite supplies involving goods not exceeding 25% of the value when provided to government bodies for municipal functions. The applicant stated that their transaction involved supply of goods and therefore GST would apply. They sought an advance ruling on whether GST was applicable and, if so, the applicable rate for identified machinery.
During the personal hearing, the Authority requested the HSN codes of machinery supplied under three invoices issued in January and February 2024. The applicant submitted the HSN codes and provided a copy of a third-party inspection report confirming installation, along with the tender document for machinery procurement for municipal solid waste processing. The Authority examined provisions of the CGST and GGST Acts, the applicant’s submissions, and Notification No. 12/2017-CT(R). It noted that the tender awarded was specifically for supply and installation of fresh waste processing machinery, and the invoices raised corresponded to supply of goods.
