In re Tvl. Kailash Vahn Private Limited (GST AAR Tamil Nadu)
The Tamil Nadu Appellate Authority for Advance Ruling (AAAR) has dismissed an application filed by M/s. Kailash Vahn Private Limited seeking rectification of an earlier advance ruling concerning the GST classification and rate for bus body-building activities. The authority, in its order dated October 17, 2024, found no error apparent on the face of the record, stating that the points raised in the rectification plea had already been addressed in the initial ruling.
M/s. Kailash Vahn Private Limited had approached the AAAR under Section 102 of the Central Goods and Services Tax (CGST) Act, 2017, seeking to amend Advance Ruling No. 19/ARA/2024, issued on September 23, 2024. The company contended that minor corrections were needed in the ruling to fully align with the factual and legal interpretations presented in the detailed discussion within the original order.
Background of the Original Ruling
Kailash Vahn had originally sought clarification on three key aspects of their bus body-building operations:
1. Classification of Activity: Whether the body-building activity could be considered “job work” and a “supply of services” under SAC Code 998881 (“Motor vehicle and trailer manufacturing services”).
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- Original Ruling: The Authority had ruled that body-building on chassis, whether owned by registered or unregistered customers, falls under “supply of service” (Heading 9988, Service Code 998881). However, only body-building on chassis owned by GST-registered customers qualified as “job work.”
2. Applicable GST Rate for Job Work: If considered job work/supply of services, whether the GST rate would be 18% under Sl. No. 26(ic) or Sl. No. 26(iv) of Notification No. 11/2017-CT(Rate).
