Issues: (i) Whether transfer of the entire business undertaking without consideration to a distinct registered person constitutes a supply under GST. (ii) Whether the transfer is a supply of goods or a supply of services. (iii) Whether the transfer is covered by Serial No. 2 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017. (iv) Whether stock and fixed assets are taxable where the business does not qualify as a going concern.

Issue (i): Whether transfer of the entire business undertaking without consideration to a distinct registered person constitutes a supply under GST.

Analysis: Section 7 of the Central Goods and Services Tax Act, 2017 has an inclusive scope and encompasses specified supplies made without consideration. The proposed arrangement transfers the entire undertaking, including assets, liabilities, employees, rights, customers and operations, from one registered person to another. Such comprehensive transfer was treated as a supply notwithstanding that it is without consideration and is not in the ordinary course of business.

Conclusion: The transfer of the entire business undertaking constitutes a supply under GST.

Issue (ii): Whether the transfer is a supply of goods or a supply of services.

Analysis: Entry 4(c) of Schedule II excludes a business transferred as a going concern from deemed supply-of-goods treatment on cessation of taxable person status. A business undertaking transferred as a whole is not movable property qualifying as goods under Section 2(52); being neither goods, money nor securities, it falls within services under Section 2(102).

Conclusion: The transfer of the business undertaking amounts to a supply of services.

Issue (iii): Whether the transfer is covered by Serial No. 2 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017.

Analysis: Serial No. 2 grants nil-rate treatment to services by way of transfer of a going concern as a whole or an independent part thereof. Although the arrangement provides for continuity of operations, employees, assets and liabilities, no documentary evidence was furnished to establish that the business satisfies the requirements of a going concern.

Conclusion: The transfer is covered by Serial No. 2 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 only if the business qualifies as a going concern.

Issue (iv): Whether stock and fixed assets are taxable where the business does not qualify as a going concern.

Analysis: Under Entry 4(c) of Schedule II, goods forming part of business assets are deemed supplied immediately before cessation of taxable person status unless the business is transferred as a going concern. The going-concern exception is therefore unavailable where that condition is not met.

Conclusion: Stock, closing stock and other business assets are supplies of goods and are taxable at the rates applicable to the respective goods if the business does not qualify as a going concern.

Final Conclusion: A comprehensive transfer of the undertaking is characterised as a supply of services, with nil-rate treatment dependent upon proof that the undertaking is transferred as a going concern; otherwise, the transferred business goods attract tax as deemed supplies.

Ratio Decidendi: Transfer of a business undertaking as a going concern is a supply of services eligible for the Serial No. 2 exemption, whereas failure of the going-concern condition results in deemed supply-of-goods treatment for business assets upon cessation.

Issues: Whether a complete e-rickshaw kit supplied in completely knocked down condition is classifiable as the finished electrically operated vehicle and taxable at 5% GST.

Analysis: Rule 2(a) governing interpretation of the Import Tariff permits classification of a complete article supplied unassembled where the goods retain the essential character of that article. Tariff item 87038040 covers three-wheeled vehicles propelled solely by an electric motor, and Serial No. 441 of Schedule I to Notification No. 11/2017-Central Tax (Rate) prescribes 5% GST for electrically operated vehicles. Classification as an e-rickshaw in CKD condition requires cumulative satisfaction of four conditions: all components necessary for one complete e-rickshaw must be supplied together as a single identifiable kit; the kit must require only assembly without addition of an essential component; the purchase order, invoice, packing list and contemporaneous records must consistently describe an e-rickshaw in CKD/SKD condition; and the actual consignment must correspond with those records.

Conclusion: On fulfilment of all four conditions, the CKD kit is classifiable as the finished electrically operated three-wheeled vehicle under tariff item 87038040 and attracts GST at 5% (2.5% CGST and 2.5% SGST) on its composite value. Failure to fulfil any condition results in classification as individual parts taxable at the rate applicable to those parts.

Issues: (i) Whether the milling, fortification and packing of Government-supplied food grains for distribution through the Public Distribution System is a composite supply eligible for exemption under Serial No. 3A of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017; (ii) The GST rate applicable to that composite supply if the value of goods exceeds the 25% threshold under Serial No. 3A.

Issue (i): Whether the milling, fortification and packing of Government-supplied food grains for distribution through the Public Distribution System is a composite supply eligible for exemption under Serial No. 3A of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017.

Analysis: The contractual arrangement required milling of wheat, fortification with micronutrients and packaging of the resultant flour for delivery to the State Government. These supplies were naturally bundled, with milling being the principal supply and fortification and packaging being ancillary supplies; therefore, the arrangement constituted a Composite Supply under Section 2(30) of the Central Goods and Services Tax Act, 2017.

Analysis: The agreed Value of Supply was Rs. 260.48 per 100 kilograms of wheat, including cash payment and the agreed Non-Cash Consideration represented by retention of gunny bags, bran and refractor. The goods component, comprising fortification and packing materials, was Rs. 60, or 23.03% of the total value. Distribution through the Public Distribution System is covered by Entry 28 of the Eleventh Schedule and is a Function Entrusted to a Panchayat under Article 243G of the Constitution of India. Circular No. 153/09/2021-GST requires the 25% goods-value condition to be determined on the facts of each case.

Conclusion: On the stated valuation, the composite supply qualifies for exemption under Serial No. 3A of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017, provided that the value of goods does not exceed 25% of the value of the composite supply.

Issue (ii): The GST rate applicable to that composite supply if the value of goods exceeds the 25% threshold under Serial No. 3A.

Analysis: Exceeding the prescribed 25% value threshold renders the composite milling supply ineligible for the Serial No. 3A exemption. The applicable rate in that event is prescribed under Serial No. 26(i)(f) of Notification No. 11/2017-Central Tax (Rate).

Conclusion: Where the value of goods exceeds 25% of the value of the composite supply, GST is chargeable at 5% on the total consideration, comprising CGST at 2.5% and SGST at 2.5%.

Final Conclusion: Milling, fortification and packing of food grains for Public Distribution System distribution remains exempt while the goods component stays within the 25% statutory threshold; otherwise, the supply is taxable at the specified concessional rate.

Ratio Decidendi: A naturally bundled Government supply of milling, fortification and packaging for the Public Distribution System is eligible for the Serial No. 3A exemption only where the value of goods used in the composite supply does not exceed 25% of its total value.

Issues: Whether fees charged for university diploma and certificate programmes constitute exempt educational services under Entry No. 66(a) of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017.

Analysis: Entry No. 66(a) exempts services supplied by an educational institution to its students. Under clause 2(y)(ii), the institution must provide education as part of a curriculum leading to a qualification recognised by law. A structured diploma or certificate course is education forming part of a curriculum. The statutory power to institute diplomas and certificates, together with the powers to regulate courses, curricula and syllabi, establishes that qualifications awarded through the approved programmes are recognised by law. The applicable circulars distinguish long-duration programmes leading to recognised qualifications from short-duration programmes or participation certificates. Diploma and certificate programmes must therefore have a duration of one year or more to fall within the exemption.

Conclusion: Fees for diploma and certificate programmes of one year or more are consideration for exempt educational services supplied to students. Fees for short-duration diploma or certificate programmes are not covered by the exemption.

Issues: (i) Whether Geomembrane is classifiable under Tariff Sub-heading 59111000 as a textile product for technical use; (ii) Whether Geomembrane is covered by the applicable GST rate entries for Heading 5911.

Issue (i): Whether Geomembrane is classifiable under Tariff Sub-heading 59111000 as a textile product for technical use.

Analysis: HDPE strips having a width below 5 mm remain within Section XI under Note 1(g) and, after weaving, constitute textile fabric. The woven fabric is laminated on both sides with plastic and is supplied in pieces or cut to length for pond lining. Chapter Note 8(a)(i) to Chapter 59 includes textile fabrics coated, covered or laminated with other material, including plastic, where they are of a kind used for technical purposes. The use of the product in biofloc aquaculture ponds and water-conservation lining establishes the requisite technical use. The functional-use test and the relevant HSN notes therefore support classification under Heading 5911 rather than as an article of plastics.

Conclusion: Geomembrane is classifiable under Tariff Sub-heading 59111000 of the First Schedule to the Customs Tariff Act, 1975.

Issue (ii): Whether Geomembrane is covered by the applicable GST rate entries for Heading 5911.

Analysis: Classification under Tariff Sub-heading 59111000 brings the product within Heading 5911. Entry No. 168 of Schedule II to Notification No. 01/2017-Central Tax (Rate) covers Heading 5911 for the period up to 21.09.2025. Following supersession of that notification, Entry No. 386 of Schedule I to Notification No. 09/2025-Central Tax (Rate) covers Heading 5911 with effect from 22.09.2025.

Conclusion: Geomembrane is liable to GST at 12% up to 21.09.2025 and at 5% with effect from 22.09.2025.

Final Conclusion: The product is treated as a technical-use laminated textile under Heading 5911, with the corresponding GST entries governing the respective periods.

Ratio Decidendi: Woven HDPE strips of width not exceeding 5 mm, when laminated with plastic and used for a technical purpose, are classifiable as textile products for technical use under Heading 5911.

Issues: (i) Classification of outdoor playground equipment, outdoor gym equipment, and their spare parts, including bearings; (ii) Applicable GST rates for those goods under the rate notification.

Issue (i): Classification of outdoor playground equipment, outdoor gym equipment, and their spare parts, including bearings.

Analysis: Heading 9506 of Chapter 95 covers articles and equipment for general physical exercise and outdoor games. The HSN notes expressly include exercise apparatus within articles for general physical exercise and playground equipment such as swings, slides and see-saws within requisites for outdoor games. Chapter Note 3 provides that parts and accessories solely or principally used with Chapter 95 articles are classified with those articles. Bearings, however, are not confined to outdoor gym equipment and are specifically described under heading 8482; the specific-description rule in Rule 3(a) therefore applies.

Conclusion: Outdoor playground equipment and its eligible spare parts are classifiable under sub-heading 95069990; outdoor gym equipment and its eligible spare parts are classifiable under sub-heading 95069190. Bearings are classifiable under heading 8482, with the precise tariff item dependent on their specifications.

Issue (ii): Applicable GST rates for those goods under the rate notification.

Analysis: Schedule I entry 499 applies to sports goods other than articles and equipment for general physical exercise, while Schedule II entry 619 applies to articles and equipment for general physical exercise. Playground equipment qualifies as sports goods for children, whereas outdoor gym equipment is equipment for general physical exercise. Bearings fall within Schedule II entry 467.

Conclusion: Outdoor playground equipment and its eligible spare parts are taxable at 5%. Outdoor gym equipment, its eligible spare parts, and bearings are taxable at 18%.

Final Conclusion: The ruling distinguishes playground sports goods from general physical-exercise equipment for rate purposes and excludes bearings from classification as equipment-specific spare parts.

Ratio Decidendi: Parts solely or principally used with Chapter 95 equipment ordinarily follow that equipment, but an item specifically described under a separate tariff heading must be classified under that specific heading in preference to the general parts classification.

Issues: (i) Whether employee recoveries for subsidised mandatory canteen facilities amount to a taxable supply. (ii) Whether input tax credit on canteen services is available and, if so, to what extent.

Issue (i): Whether employee recoveries for subsidised mandatory canteen facilities amount to a taxable supply.

Analysis: Section 7 of the Central Goods and Services Tax Act, 2017 requires a supply for consideration in the course or furtherance of business. The canteen facilities at the factory and research facility were obligatory under Section 46 of the Factories Act, 1948, while the corporate-office canteen was obligatory under Section 23 of the Gujarat Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2019. The facilities were governed by the employer's canteen policy and the employee deductions represented subsidised meal charges. Circular No. 172/04/2022-GST treats employment perquisites provided under the employer-employee arrangement as outside GST.

Conclusion: The recoveries from employees towards canteen facilities are not a supply and do not attract GST. The issue is decided in favour of the assessee.

Issue (ii): Whether input tax credit on canteen services is available and, if so, to what extent.

Analysis: The proviso to Section 17(5)(b) of the Central Goods and Services Tax Act, 2017, as clarified by Circular No. 172/04/2022-GST, applies to the whole of clause (b) and permits input tax credit where provision of the relevant facility is obligatory under law. Since the canteen facilities were statutorily mandatory, the blocked-credit restriction did not apply to the employer's cost. Credit attributable to the portion of canteen cost recovered from employees remains unavailable.

Conclusion: Input tax credit on canteen services is admissible only to the extent of the cost borne by the assessee; proportionate credit embedded in the amounts recovered from employees is disallowed. The issue is partly decided in favour of the assessee.

Final Conclusion: Statutorily mandated subsidised canteen facilities provided as part of the employment arrangement fall outside taxable supply, while the associated credit entitlement is confined to the employer-funded portion of the facility.

Ratio Decidendi: Where an employer provides a statutorily mandatory canteen under an employment arrangement, employee recoveries do not constitute taxable supply, and input tax credit is available only for the cost borne by the employer.

Issues: (i) Whether GST is applicable to rent paid for hired godowns used exclusively for storage and warehousing of raw agricultural produce; (ii) Whether GST on such rent is payable under the Reverse Charge Mechanism or the Forward Charge Mechanism; (iii) What GST rate applies to the renting of such godowns.

Issue (i): Whether GST is applicable to rent paid for hired godowns used exclusively for storage and warehousing of raw agricultural produce.

Analysis: Renting of godowns for consideration and the subsequent provision of storage and warehousing services are separate supplies. Although storage or warehousing of agricultural produce is exempt under Entry No. 54(e) of Notification No. 12/2017-Central Tax (Rate), the exemption applies to the outward warehousing service and does not extend to the independent inward supply of renting non-residential godowns. Such renting is a taxable supply of real estate services.

Conclusion: GST is applicable on rent paid for hired godowns notwithstanding their exclusive use for exempt agricultural-produce warehousing, against the assessee.

Issue (ii): Whether GST on such rent is payable under the Reverse Charge Mechanism or the Forward Charge Mechanism.

Analysis: Renting of non-residential godowns by registered suppliers is taxable under forward charge. Entry No. 5AB of Notification No. 13/2017-Central Tax (Rate), as amended, requires a registered recipient to pay tax under reverse charge where the non-residential property is rented by an unregistered supplier; the entry applies from 10.10.2024.

Conclusion: Rent paid to unregistered persons for hired godowns from 10.10.2024 is taxable under reverse charge; rent charged by registered persons is taxable under forward charge, against the assessee.

Issue (iii): What GST rate applies to the renting of such godowns.

Analysis: Renting or leasing of non-residential property falls within real estate services under Entry No. 16(iii) of Notification No. 11/2017-Central Tax (Rate).

Conclusion: GST is payable at 18%, comprising 9% CGST and 9% SGST, against the assessee.

Final Conclusion: The exemption available to storage and warehousing of agricultural produce does not alter the taxability of the distinct supply of renting hired godowns.

Ratio Decidendi: Exemption of an outward supply does not exempt a separate inward supply; each supply must be classified and taxed independently under the applicable GST notification.

Issues: Whether input tax credit is available on expenses attributable to the fresh issue component of an initial public offering where the proceeds are deployed for business purposes.

Analysis: Section 16(1) of the Central Goods and Services Tax Act, 2017 permits credit of tax charged on services used or intended for use in the course or furtherance of business. Furtherance of business encompasses activities that support, facilitate, promote, or advance business, even if they are not the principal business activity. IPO-related services facilitate raising capital for expansion, new stores and warehouses, working capital, repayment of borrowings, and general corporate purposes. Such expenses are not among the blocked-credit categories under Section 17(5). Expenses attributable to an offer for sale by existing shareholders are distinguishable because the sale proceeds do not accrue to the company and such expenditure is not in furtherance of its business.

Conclusion: Input tax credit on expenses attributable to the fresh issue is eligible where the net proceeds are utilised in furtherance of business. Input tax credit attributable to the offer-for-sale component is not eligible.

Issues: Whether leasing digital cinema equipment comprising a projector, server, UPS and VSAT for a single rental constitutes a composite supply or a mixed supply, and the applicable GST rate.

Analysis: The equipment was supplied together for a single lease rental but was not naturally bundled in the ordinary course of business. The indicators of natural bundling, including customary industry practice, consumer expectation, ancillary character and integral dependence of the components, were not satisfied. Since the individual equipment could constitute independent supplies and the bundle was supplied for a single price without being a composite supply, it was classified as a mixed supply. Under Section 8(b), a mixed supply is taxable at the rate applicable to the constituent supply attracting the highest rate. The projector attracted the highest applicable rate among the equipment.

Conclusion: The leasing of the digital cinema equipment is a mixed supply and is taxable at the rate applicable to the projector: 28% GST up to 21.09.2025 and 18% GST thereafter. The GST rate applied by the applicant was correct.

Issues: (i) Whether the applicant's ex-works supply of forty aircraft to the government purchaser from Gujarat is liable to GST in India; (ii) Whether the applicant must obtain GST registration in Gujarat for that supply.

Issue (i): Whether the applicant's ex-works supply of forty aircraft to the government purchaser from Gujarat is liable to GST in India.

Analysis: Section 7(1)(a) of the Central Goods and Services Tax Act, 2017 covers supplies of goods made for consideration in the course or furtherance of business. Aircraft are movable goods under Section 2(52), and transfer of title is treated as a supply of goods under Section 7(1A) read with Entry 1(a) of Schedule II. The aircraft are manufactured in Gujarat, procured by the applicant from the Indian aircraft contractor, and supplied ex-works in Gujarat to the government purchaser for contractual consideration. Notification No. 10/2025-Central Tax (Rate) dated 17.09.2025 does not provide an exemption for aircraft.

Conclusion: The supply of forty aircraft is liable to GST in India and is not exempt. This is against the assessee.

Issue (ii): Whether the applicant must obtain GST registration in Gujarat for that supply.

Analysis: Sections 22 and 25 of the Central Goods and Services Tax Act, 2017 require registration in the State from which taxable supplies are made once the applicable aggregate-turnover threshold is exceeded. The outward supply is made from Gujarat, and its stated transaction value exceeds the registration threshold.

Conclusion: GST registration in Gujarat is required. This is against the assessee.

Final Conclusion: The domestic procurement and onward ex-works supply of the aircraft constitute a taxable supply chain situated in Gujarat, with the corresponding registration nexus in that State.

Ratio Decidendi: A transfer of title in movable goods for consideration in the course of business is a taxable supply under GST, and the supplier must register in the State from which the taxable supply is made once the statutory threshold is crossed.

Issues: Whether an advance-ruling application is maintainable when the questions concern a purported supply by a faculty member to the applicant rather than a supply undertaken or proposed by the applicant.

Analysis: Section 95(a) of the Central Goods and Services Tax Act, 2017 requires an advance-ruling question to relate to a supply of goods or services undertaken or proposed to be undertaken by the applicant. The questions presented concerned the alleged supply by the Consultancy In-charge to the Institute, including that individual's registration and invoicing liability, rather than a supply by the applicant.

Conclusion: Questions concerning a supply by a faculty member to the applicant fall outside the statutory scope of an advance ruling available to the applicant.

Issues: (i) Whether Papad Khar is classifiable under Heading 2501 or Heading 2102, or under tariff item 28362090, and its applicable GST rate; (ii) Whether Papad Khar qualifies for GST exemption as an ingredient used in exempt papad or under the stated exemption entries.

Issue (i): Whether Papad Khar is classifiable under Heading 2501 or Heading 2102, or under tariff item 28362090, and its applicable GST rate.

Analysis: Heading 2501 applies to salt and pure sodium chloride within the limited processing permitted by Chapter 25. Papad Khar is manufactured by mixing sodium chloride with sodium carbonate and sodium bicarbonate, followed by solidification, breaking and drying. Its composition and manufacturing process therefore do not satisfy the requirements for common salt, rock salt, or other products of Heading 2501.

Analysis: Heading 2102 is confined to yeasts, inactive single-cell micro-organisms and prepared baking powders. Papad Khar is neither yeast nor prepared baking powder: its alkaline carbonate and bicarbonate composition, utility and effect in preparing crisp traditional snacks are materially different. Its functionally active constituents are sodium carbonate and sodium bicarbonate, bringing it within the carbonate heading. Entry 35 of Schedule II to Notification No. 09/2025-Central Tax (Rate) applies to the product.

Conclusion: Papad Khar is not classifiable under Heading 2501 or Heading 2102. It is classifiable under tariff item 28362090 of the Customs Tariff Act, 1975 and is liable to GST at 18%; the finding is against the assessee.

Issue (ii): Whether Papad Khar qualifies for GST exemption as an ingredient used in exempt papad or under the stated exemption entries.

Analysis: Exemption of a finished product does not, by itself, extend to its raw materials or processing ingredients. Under the value-added tax framework, inputs and finished goods are independently classified and taxed according to their respective specific tariff entries and rate notifications. Papad Khar is not covered by the claimed exemption entries.

Conclusion: Papad Khar does not qualify for GST exemption under the claimed entries or on the ground that papad is exempt; the finding is against the assessee.

Final Conclusion: The product remains taxable as an inorganic carbonate preparation under the applicable Schedule II rate entry.

Ratio Decidendi: A product must be classified according to its composition, manufacturing process and functional character under the applicable tariff entry; exemption of a finished product does not automatically extend to its inputs.

Issues: (i) Whether the proposed transfer of the entire proprietorship business to an LLP without consideration constitutes a supply under GST; (ii) Whether such transfer is a supply of goods or services; (iii) Whether the transfer is exempt as a transfer of a going concern under Entry No. 2 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017; and (iv) Whether GST applies to stock and assets if the business does not qualify as a going concern.

Issue (i): Whether the proposed transfer of the entire proprietorship business to an LLP without consideration constitutes a supply under GST.

Analysis: Section 7 has an inclusive scope, and includes activities specified in Schedule I even when made without consideration. The proposed arrangement involves transfer of the entire business, including its assets, liabilities, employees, rights and customer relationships, to enable its uninterrupted continuation by the transferee.

Conclusion: The proposed transfer of the business constitutes a supply under GST.

Issue (ii): Whether such transfer is a supply of goods or services.

Analysis: A business transferred as a going concern is not treated as a supply of goods under Entry No. 4(c) of Schedule II. Since the transfer of the business as a whole is not a transfer of goods, it falls within the residual definition of services under Section 2(102).

Conclusion: The transaction is a supply of services.

Issue (iii): Whether the transfer is exempt as a transfer of a going concern under Entry No. 2 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017.

Analysis: Entry No. 2 grants a nil-rate exemption for services by way of transfer of a going concern as a whole or an independent part thereof. Although the proposed arrangement contemplates transfer of the complete operational business, the material furnished did not establish that the business satisfies the requisite going-concern status.

Conclusion: The exemption under Entry No. 2 is available only if the business qualifies as a going concern by all applicable standards.

Issue (iv): Whether GST applies to stock and assets if the business does not qualify as a going concern.

Analysis: Where the business is not transferred as a going concern, Entry No. 4(c) of Schedule II treats goods forming part of the business assets as deemed supplies upon cessation as a taxable person.

Conclusion: If the business does not qualify as a going concern, the transferred stock and assets constitute a supply of goods taxable at the rates applicable to the respective goods.

Final Conclusion: The business transfer is classified as a service, but the nil-rate treatment depends upon substantiation that the transferred business is a going concern; failing that status, goods forming part of the transfer attract GST at their applicable rates.

Ratio Decidendi: Transfer of an entire business as a going concern is a supply of services, and the exemption for such transfer applies only where the going-concern character of the business is established.

Issues: (i) Whether battery-operated e-rickshaws, e-carts, hydraulic e-carts and e-scooters, supplied with or without batteries, are classifiable under tariff headings 8703 and 8711 respectively and taxable at 5 per cent GST; (ii) Whether the question concerning refund of accumulated input tax credit arising from inverted duty structure falls within the scope of advance ruling.

Issue (i): Whether battery-operated e-rickshaws, e-carts, hydraulic e-carts and e-scooters, supplied with or without batteries, are classifiable under tariff headings 8703 and 8711 respectively and taxable at 5 per cent GST.

Analysis: Three-wheeled e-rickshaws, e-carts and hydraulic e-carts fall under tariff item 87038040, while electrically propelled e-scooters fall under tariff item 87116020. An electrically operated vehicle derives traction solely from electrical energy and has no alternate source of propulsion. Where the motor, inverter, control module, drivetrain and vehicle body are fitted, the absence of a battery at the time of supply does not alter its essential character as an electrically operated vehicle. Serial No. 441 of Schedule I of Notification No. 09/2025-Central Tax (Rate) dated 17.09.2025 covers electrically operated two- and three-wheeled vehicles.

Conclusion: The specified three-wheeled vehicles are classifiable under tariff heading 8703 and the e-scooter under tariff heading 8711, whether supplied with or without batteries, and all are taxable at 5 per cent GST.

Issue (ii): Whether the question concerning refund of accumulated input tax credit arising from inverted duty structure falls within the scope of advance ruling.

Analysis: Section 97(2) of the Central Goods and Services Tax Act, 2017 specifies the questions that may be raised for advance ruling. Entitlement to refund of accumulated input tax credit under Section 54(3)(ii) does not fall within those specified categories.

Conclusion: The question seeking determination of refund entitlement on account of inverted duty structure is outside the statutory scope of advance ruling and was not admitted.

Final Conclusion: The ruling establishes the applicable classification and concessional GST treatment of the specified electric vehicles, while refund entitlement remains outside the advance-ruling jurisdiction.

Ratio Decidendi: A vehicle designed to run solely on electrical energy retains its character as an electrically operated vehicle notwithstanding that its battery is not fitted at the time of supply.

Issues: (i) Whether the imported IT support services received from the related foreign entity constitute a taxable import of services on which IGST is payable under reverse charge; and (ii) Whether the value declared in the recipient's self-invoice can be deemed the open market value for reverse-charge GST.

Issue (i): Whether the imported IT support services received from the related foreign entity constitute a taxable import of services on which IGST is payable under reverse charge.

Analysis: Import of services for consideration falls within supply, and import from a related person in the course or furtherance of business is also treated as supply. The foreign supplier and Indian recipient were related persons under the common-control test. As the supplier was outside India, the recipient was in India, and the place of supply was India under the recipient-location rule, the transaction satisfied the requirements of import of services. Such imported services are inter-State supplies, and the recipient is liable to pay IGST under reverse charge.

Conclusion: The IT support services are a taxable import of services, with IGST payable by the Indian recipient under reverse charge.

Issue (ii): Whether the value declared in the recipient's self-invoice can be deemed the open market value for reverse-charge GST.

Analysis: Valuation of supplies between related persons is governed by Rule 28. Its second proviso deems the invoice value to be the open market value where the recipient is eligible for full input tax credit. For imported services taxable under reverse charge, the recipient is required to issue a self-invoice. Circular No. 210/4/2024-GST extends the Rule 28 deeming principle to imports of services from related foreign entities and recognises the value declared by the related domestic recipient in its invoice as the open market value where full input tax credit is available.

Conclusion: The value stated in the self-invoice is deemed to be the open market value, provided the recipient is eligible for full input tax credit.

Final Conclusion: The statutory valuation deeming mechanism applies to the reverse-charge import of services where the full input tax credit condition is fulfilled.

Ratio Decidendi: For an import of services from a related foreign person, the recipient's self-invoice value is deemed open market value under the second proviso to Rule 28(1) where the recipient is eligible for full input tax credit.

Issues: (i) The appropriate Service Accounting Codes for setting up a new main water pipeline and revamping a water pipeline distribution network; (ii) Whether the works-contract services qualify for exemption and the applicable GST rate.

Issue (i): The appropriate Service Accounting Codes for setting up a new main water pipeline and revamping a water pipeline distribution network.

Analysis: The contracts involve transfer of goods in the execution of civil works that become part of immovable property and consequently satisfy the definition of a works contract. A works contract is treated as a supply of services. The installation of a new water main is general construction of civil engineering waterworks, whereas revamping an existing distribution network is repair and maintenance of such construction.

Conclusion: Setting up the new main water pipeline is classifiable under SAC 995422, while revamping the water pipeline distribution network is classifiable under SAC 995429. This is against the assessee's proposed classification under SAC 995479.

Issue (ii): Whether the works-contract services qualify for exemption and the applicable GST rate.

Analysis: The exemptions for pure services and composite supplies require, among other conditions, supply to specified governmental recipients and, for composite supplies, a goods component not exceeding 25 per cent. Those conditions are not met because the contracts are works contracts involving goods exceeding 75 per cent of their value. Although the recipient qualifies as a Governmental Authority, the exemption confined to services supplied "by way of" water supply requires direct provision of water supply. Civil engineering and repair works merely connected with water-supply infrastructure do not meet that direct supply requirement. Exemption notifications require strict interpretation.

Conclusion: The services are not exempt under Serial Nos. 3, 3A, or 3B and are taxable at 9 per cent CGST plus 9 per cent SGST under Serial No. 3(ii). This is against the assessee.

Final Conclusion: The pipeline installation and revamping are taxable works-contract services under their respective civil-engineering and repair-and-maintenance service classifications.

Ratio Decidendi: An exemption restricted to services supplied "by way of" water supply does not extend to works-contract civil engineering or repair activities merely connected with water-supply infrastructure.

Issues: Whether an advance-ruling application was maintainable despite non-payment in full of the prescribed fee and failure to specify the statutory category of questions.

Analysis: Section 97(1) of the CGST and KGST Acts, read with Rule 104 of the corresponding Rules, mandates payment of the prescribed application fee. Despite repeated opportunities, the balance fee was not paid and there was no compliance with hearing notices. The application also omitted the category of questions required under Section 97(2), constituting a fundamental statutory defect.

Conclusion: The advance-ruling application was not maintainable because the mandatory filing requirements were not met.

Issues: Whether non-payment of the prescribed fee renders an application for advance ruling not maintainable.

Analysis: Section 97(1) and Rule 104 require an advance-ruling application to be accompanied by the prescribed fee under both the central and State enactments. The full fee was not remitted despite repeated opportunities to cure the defect, and there was no appearance or compliance by the applicant.

Conclusion: Full payment of the prescribed fee is a mandatory precondition for entertaining an advance-ruling application; non-compliance precludes examination of the questions on merits.

Issues: Whether an advance-ruling application is maintainable where the prescribed application fee was not paid in full despite repeated opportunities for compliance.

Analysis: Section 97(1) of the Central Goods and Services Tax Act, 2017 and the Karnataka Goods and Services Tax Act, 2017, read with Rule 104 of the corresponding Rules, require payment of the prescribed fee for an advance-ruling application. The applicant neither remitted the balance fee nor responded to the communications and hearing opportunities provided to cure the defect. Full payment of the prescribed fee was treated as a mandatory condition for entertaining the application.

Conclusion: Non-payment of the prescribed fee in full rendered the advance-ruling application not maintainable.