2018 (7) TMI 881

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....on 17 of CGGST Act, 2017 stipulating therein non accumulation of ITC in case of units dealing in non-tax/exempted goods. The aforesaid Advance ruling has also been requested by the applicant as for each such transfer they have to pay GST merely for internal transfer of goods from one branch to another branch for one goods and the same goods in same hands would be liable for multiple tax which will be against the core principles of GST. 2. Facts of the case:- I. The applicant M/s VNR Seeds Pvt. Ltd. Raipur with multiple registrations under GST in various States is involved in the business of supplying seeds (in packaged form using packing materials), for sowing purpose, which is exempted item. II. They procure taxable packaging mate....

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....xable under GST) and also in b. Supply of such packaging materials and other consumables to their own branches situated in other States across India. 5.1 The Applicant has submitted that they are involved in the business of supplying seeds in packaged form using such packaging materials. Seeds are exempted from GST whereas packing materials and other consumables are taxable. Thus, this supply of the applicant falls under the category of composite supply, as stipulated under the provisions mentioned hereunder:- i U/s. (2)30 of CGGST Act, 2017:- "Composite Supply" means a supply made by a taxable person to a recipient consisting of two or more taxable supplies of goods or services or both, or any combination thereof, which are natura....

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.... manner as may be prescribed. v. U/s. 41 of CGGST Act, 2017;- Claim of input tax credit and provisional acceptance thereof :- (1) Every registered person shall, subject to such conditions and restrictions as may be prescribed, be entitled to take the credit of eligible input tax, as self-assessed, in his return and such amount shall be credited on a provisional basis to his electronic credit ledger. (2) The credit referred to in sub-section (1) shall be utilized only for payment of self-assessed output tax as per the return referred to in the said sub-section. vi. U/s. 17(2) of CGGST Act, 2017:- Where the goods or services or both are used by the registered person partly for effecting taxable supplies including zero-rated suppli....