In re Shashi Metals Private Ltd. (GST AAR Uttar Pradesh)
The applicant vide question No. 1 is desirous to know as to whether supply of Iron and Steel to M/s Dewan India, Moradabad for manufacturing of its items approved by the Government of India, Ministry of Commerce and Industry Department of Commerce, Moradabad Special Economic Zone, Moradabad will fall under supply for approved purpose. The said question (i.e. whether any supply will be covered in supply to SEZ unit for approved purpose) is not covered in any category under Section 97(2) of the CGST Act, 2017.
The applicant vide question No. 2 is desirous to know as to whether supply of Applicant will be treated as Zero Rated Supply. The said question is also not covered in any category under Section 97(2) of the CGST Act, 2017.
The applicant vide question No. 3 is desirous to know as to whether the applicant is entitled to claim refund on Inputs, if supplies are made without payment of tax against Letter of Undertaking. The said question is also not covered in any category under Section 97(2) of the CGST Act, 2017.
The applicant vide question No. 4 is desirous to know as to whether the applicant can be held liable for any penalty or tax if supplies made by him to M/s Dewan India, Moradabad are consumed used by recipient for any purpose other those mentioned in its LOA. The said question is also not covered in any category under Section 97(2) of the CGST Act, 2017.
The applicant vide question No. 5 is desirous to know the Documents required to be maintained by the applicant. The said question is also not covered in any category under Section 97(2) of the CGST Act, 2017.
The applicant vide question No. 6 is desirous to know as to whether there is any liability on Applicant Company under Reverse Charge Mechanism. The clause (a) of Section 95 of the CGST Act defines ‘advance ruling’ as under:-
(a) “Advance ruling” means a decision provided by the Authority or the Appellate Authority to an applicant on matters or on questions specified in sub-section (2) of section 97 or sub-section (1) of section 100, in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the applicant.
From the above definition of advance ruling, it is evident that an applicant can seek an Advance Ruling only in relation to supply of goods or services or both undertaken or proposed to be undertaken by them. Accordingly, the question on tax liability under reverse charge mechanism is not liable for admission before the authority of advance ruling.
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING, UTTAR PRADESH
ORDER UNDER SECTION 98(4) OF THE CGST ACT, 2017 & UNDER SECTION 98 (4) OF THE UPGST ACT, 2017
1. M/s Shashi Metals Private Ltd., C-78/5, BS Road Industrial Area, Ghaziabad-201009 (here in after referred to as the applicant) is a registered assessee under GST having GSTN: 09AAJCS7206E1ZB.
2. The applicant has submitted as under-
(1) The applicant is Private Limited Company and registered dealer having registration no. 09AAJCS7206E1ZB.
(2) It is engaged in trading business of Iron & Steel as defined under Chapter 72 (HSN code) on wholesale and retail business.
(3) The applicant has received purchase order for supply of Iron & Steel from M/s Dewan India, Plot No. J-05, Pocket-B, 6th, Pakbara- Dingrapur, Road, Moradabad, Uttar Pradesh-244102, which is also registered under registration no. 09AAFFD9861KZU.
(4) The manufacturing unit of M/s Dewan India is approved SEZ unit as defined under section 2(19) of the Integrated Goods and Service Tax Act, which is situated at Moradabad Special Economic Zone having the LOA No. NSEZ/4-304/2003-MBD/4500 dated 20.12.2010. As per LOA M/s Dewan India is approved to manufacture and export of following:-
