GST Appeal Remanded to AAR: Re-examining Coal Rejects Taxation – PSPCL Case

In re Punjab State Power Corporation Limited. (GST AAAR Punjab) The recent case involving Punjab State Power Corporation Limited (PSPCL) and the Authority for Advance Ruling, Punjab (AAR Punjab) has brought to light critical issues related to the taxation of coal rejects under the Goods and Services Tax (GST) regime. The AAR Punjab’s order, dated September 29, 2022, raised questions regarding the classification and taxation of coal rejects and the eligibility of Input Tax Credit (ITC) for the appellant. In response to the appellant’s appeal, the Appellate Authority for Advance Ruli...