Case Law Details
In re M/s. HYT Sam India(JV) (GST AAR Tamilnadu)
1. In the contract “Modernization of ICF for Complete Switch-over to Stainless steel coach manufacturing-Phase II, consisting of construction of shed, provision of M & Ps in ICF Shell/Furnishing Division, retro-fitment / re-conditioning / re-sitting / disposal of obsolete M & Ps of shell division including wet leasing of M & Ps and associated Electrical works on turn-key basis” dt 29.06.2017 entered into by the Applicant with ICF, Chennai, the supply in the agreement for erection, commissioning, installation of plant and machinery for a factory to manufacture stainless steel coaches covering Schedule I, II , III, the portion pertaining to supply of machine, plant and equipment’s including commissioning spares in Schedule I, erection and commissioning of all civil structures in Schedule II, supply of electrical equipment including commissioning spares in Schedule III is a composite supply of services; the supply in the agreement for wet leasing of Robotic spot welding machine and Laser cutting and welding machine as per Schedule V(a) and Schedule V(b) is a composite supply of services; the supply in the agreement for Comprehensive Annual Maintenance Contract (CAMC) of Mechanical & Electrical under Schedule VI (a) and VI (b) is a composite supply of services.
2. The supply in the agreement for erection, commissioning, installation of plant and machinery for a factory to manufacture stainless steel coaches covering Schedule I, II and III is a composite supply of works contract for original works of construction, erection, commissioning, or installation pertaining to railways, and is taxable at 6% CGST and as per SI.No. 3(v)(a) of Notification No. 11/2017 -C.T.(Rate) and 6% SGST as per SI.No. 3(v)(a) of Notification No.II(2)/CTR/532(d-14)/2017 vide G.O. (Ms) No. 72 dated 29.06.2017 as amended with effect from 22.08.2017. Prior to that, it is taxable at 9% CGST and as per SI.No. 3(ii) of Notification No. 11/2017 -C.T.(Rate) and 9% SGST as per SI.No. 3(ii) of Notification No.11(2)/CTR/532(d-14)/2017 vide G.O. (Ms) No. 72 dated 29.06.2017 as amended. The supply in the agreement for wet leasing of Robotic spot welding machine and Laser cutting and welding machine as per Schedule V(a) and Schedule V(b) is not eligible for SI no 3(v)(a) of this notification. The agreement for Comprehensive Annual Maintenance Contract (CAMC) of Mechanical & Electrical under Schedule VI (a) and VI (b) is not eligible for SI no 3(v)(a) of this notification.
3.The value of supply for each invoice raised by the Applicant will be the transaction value and should include the amounts , if any, as specified in Section 15(2) and exclude the discounts, if any, as specified in Section 15(3) of CGST ACT 2017.
4. This Authority cannot give a Ruling on the supply for up-rooting and disposal of condemned M&Ps, under Schedule IV, in which the Applicant is a recipient as per Section 95(a) of CGST Act/TNGST Act.
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