https://www.taxtmi.com/caselaws?id=427257 The AAAR West Bengal ruled that milling of food grains into flour for the Food Supplies Department under PDS constitutes an exempt composite supply under entry 3A of Notification No. 12/2017-Central Tax (Rate). The authority determined that the total supply value includes both cash and non-cash considerations, including the notional value of retained gunny bags and by-products. Since goods constitute less than 25% of the total supply value (only fortification and packing materials worth Rs.60/-), the supply qualifies for GST exemption. The AAAR corrected the lower authority's valuation methodology regarding composite supply consideration. en-us Mon, 22 Aug 2022 00:00:00 +0530 Thu, 10 Apr 2025 10:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=427257 The AAAR West Bengal ruled that milling of food grains into flour for the Food Supplies Department under PDS constitutes an exempt composite supply under entry 3A of Notification No. 12/2017-Central Tax (Rate). The authority determined that the total supply value includes both cash and non-cash considerations, including the notional value of retained gunny bags and by-products. Since goods constitute less than 25% of the total supply value (only fortification and packing materials worth Rs.60/-), the supply qualifies for GST exemption. The AAAR corrected the lower authority's valuation methodology regarding composite supply consideration. Case-Laws GST Mon, 22 Aug 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=427257