2018 (9) TMI 855 - AAR - GST

GST Advance Ruling Withdrawn: Procedural Disposal Halts Substantive Examination of Electricity Supply Tax Liability

The HC allowed the withdrawal of an advance ruling application under GST Act concerning electricity supply. The applicant sought clarification on GST ... Request for withdrawal of Advance Ruling application - Levy of GST - electricity transmission or distribution utility - Whether providing and supplying of electricity as per terms of agreement and getting reimbursement of the amount from tenants would be liable to GST under CGST/SGST Act and whether benefit under Notification No. 12/2017 CGST (Rate) Sr No. 25 or 09/2017 IGST (Rate) Sr No. 26 would be allowed? - Held that:- The request of the applicant to withdraw the application voluntarily and unconditionally is hereby allowed without going into the merits or detailed facts of this advance ruling application by this authority. The Application in GST ARA form No. 01 of M/s. Magarpatta Retail Private Limited, vide reference ARA No. 56 dated 19.07.2018 is disposed off as being withdrawn unconditionally. Issues involved: Application for advance ruling regarding liability to GST on supplying electricity and availing exemptions.Analysis:- The application was filed under section 97 of the Central Goods and Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017, seeking an advance ruling on the liability to GST for providing and supplying electricity as per terms of agreement and receiving reimbursement from tenants.- The key question was whether the Supplier, not registered as an 'electricity transmission or distribution utility,' would be liable to GST under CGST/SGST Act and whether they could avail benefits under specific notifications.- Another query was whether the Supplier could avail exemption under a particular notification as the supply of Electrical Energy.- The preliminary hearing took place on 21.08.2018, with the final hearing scheduled for 11.09.2018. However, the applicant requested to withdraw the application on 11.09.2018, which was allowed by the authority without delving into the merits or detailed facts of the case.- The order, issued on 12.09.2018, disposed of the application as withdrawn unconditionally, referencing the application number and date of filing.This judgment showcases the authority's approach to allowing the voluntary withdrawal of an advance ruling application without delving into the substantive issues raised. The decision to permit withdrawal without considering the merits or detailed facts of the case indicates a procedural aspect of the authority's functioning, emphasizing the applicant's right to withdraw their application unconditionally.