Case Law Details
In re Hitachi Energy India Limited (GST AAR AAR Chhattisgarh)
(i) The supply of services made by the applicant under the Fifth Contract relating to construction, erection, civil works, testing, commissioning etc. of the said ± 800 KV, 6000 MW HVDC terminals at Raigarh, Chhattisgarh Which includes the services of transportation, freight and insurance, is a composite supply of works contract. As discussed, the instant activity of the applicant being composite works contract classifiable under construction services falling under SAC 9954, attracts GST @18% [CGST @9% + CGGST @9%] as provided under residual entry mentioned at Sr. no.3 (xii) of Notification no. 11/2017 Central Tax (Rate) dated 28.06.2017 as amended.
Since CGST Act, 2017 itself classifies the instant supply of composite supply of works contract as “supply of service”, which has been found exigible to tax @ 18% [CGST @9% + CGGST @9%] as above, there exist no-reason to identify the “principal supply” in the instant transaction.
(ii) As the supply of services made by the applicant under Fifth Contract relating to construction, erection, civil works, testing, commissioning etc. of the said ±800 KV, 6000 MW HVDC terminals at Raigarh, Chhattisgarh which includes the services of transportation, freight, and insurance, has been held to be a composite supply of Works contract, the alternate suggestion put forth by the applicant of the same being Business Support Service is not taken up for decision.
FULL TEXT OF THE ORDER OF AUTHORITY FOR ADVANCE RULING, CHHATTISGARH
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