Case Law Details
In re National Highways Authority of India (GST AAR Uttar Pradesh)
Introduction: The recent voiding of an advance ruling by GST AAR Uttar Pradesh regarding the transaction between the National Highways Authority of India (NHAI) and Madhyanchal Vidyut Vitran Nigam Limited (MVVNL) has raised significant questions. This article delves into the details of the case, analyzing the implications and providing insights into the GST aspects of the NHAI and MVVNL transaction.
Background and Order Summary: The advance ruling, initially issued by GST AAR Uttar Pradesh, revolved around NHAI’s work in shifting transmission lines for road widening under MVVNL’s supervision. The ruling declared the work as not falling under the definition of supply, and GST was not to be paid to MVVNL on the full amount. However, the recent development highlights a critical flaw in the process.
Key Questions Raised:
1. Applicability of Advance Ruling: The core question arises from the applicability of advance rulings. The definition of “applicant” in Section 95(c) is crucial, as it refers to any person registered or desiring registration under the GST Act. Here, NHAI is deemed the applicant, but is it the correct interpretation?
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