Case Law Details
In re Kandla Port Trust (GST AAR Gujarat)
Determination of the liability to pay tax on any goods or services or both; -Applicability of TDS provision under section 51 of CGST Act.
As the issue ‘whether the applicant is liable to deduct TDS under Section 51 of the CGST Act, 2017 and the GGST Act, 2017’ is not covered by Section 97(2) of the Acts, this authority is helpless to answer the question raised in the application, as it is lacking jurisdiction to decide the issue. The jurisdiction of this authority does not extend to the questions on determination of this issue. The application is therefore rejected without going into the merits of the case, on the issue of lack of jurisdiction, at the stage of admission.
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING, GUJARAT
The applicant Kandla Port Trust (Deendayal Port Trust – DPT), set up under the Major Port Trust Act, 1963, has referred to the provisions of Section 51 of the Central Goods and Services Tax Act, 2017 (herein after referred to as the ‘CGST Act, 2017’) where under the Government may mandate (i) a department or establishment of the Central Government or State Government, or (ii) local authority; or (iii) Government agencies; or (iv) such persons or category of persons as may be notified by the Government on the recommendations of the council –to deduct tax at the rate of one percent from the payment made or credited to the supplier of taxable goods or services or both, where total value of such supply under the contract exceeds two lakh and fifty thousand rupees. It is submitted this provision is postponed at present. The applicant has submitted that certain terms used in section 51 as mentioned above is not mentioned under CGST Act, 2017, hence the applicant is dilemma whether the provisions of section 51 of the CGST Act, 2017 and corresponding provisions under the Gujarat Goods and Services Tax Act, 2017 (herein after referred to as the ‘GGST Act, 2017’) will be applicable to it or not.
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