TaxTMI 
TaxTMI 
2020 (4) TMI 66
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....hin a period of 30 days from the date of service of this order. RULING 1. This is an application under Sub-Section (1) of Section 97 of the CGST/SGST Act, 2017 (herein after referred to as Act) and the rules made thereunder filed by M/s. Bharat Heavy Electricals Ltd, Ranipur Hardwar, Uttarakhand (here in after referred to as the applicant') is registered with the GSTN having Registration No. 05AAACB4146P1ZL and seeking advance ruling on the following questions: a. In case where goods are supplied within India and billing is to be done in foreign currency, which exchange rate to be applied rate prescribed for export of goods or for import of goods; b. Any other clarification regarding application of rate to conver....
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....ver a Ietter dated 06.12.2019 was written to the applicant wherein they were requested to intimate the authority under which provisions of Foreign Exchange Regulation Act, billing in respect off domestic clearances is being done in foreign currency. Consequently the applicant vide their letter dated 23.12.2019 submitted their defence reply in this regard. 5. On perusal of record, we find that an agreement dated 09.02.2019 was signed between Chief Engineer/ Projects-II, Tangedco, Chennai and M/s. Bharat Heavy Electricals Ltd, Power Sector-Marketing, New Delhi for engineering, procurement & construction of "2 x 660 MW Coal based Udangudi Supercritical Thermal Power Project-I". In the said contract, price is in three currencies viz Rupees, ....
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.... and the Goods and Services Tax (Compensation to States) Act, if charged separately by the supplier; (b) any amount that (the supplier is liable to pay in relation to such supply but which has been incurred by the recipient of the supply and not included in the price actually paid or payable for the goods or services or both; (c) incidental expenses, including commission and packing, charged by the supplier 10 the recipient of a supply and any amount charged for anything done by the supplier in respect of the supply of goods or services or both at the time of, or before delivery of goods or supply of services; (d) interest or late fee or penalty for delayed payment of any consideration for any supply; and ....
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....Rule 28 of the Rules. Value of supply of goods or services or both between distinct or related persons, other than through an agent.-The value of the supply of goods or services or both between distinct persons as specified in sub-section (4) and (5) of section 25 or where the supplier and recipient are related, other than where the supply is made through an agent, shall- (a) be the open market value of such supply; (b) if the open market value is not available, be the value of supply of goods or services of like kind and quality; (c) if the value is not determinable under clause (a) or (b), be the value as determined by the application of rule 30 or rule 31, in that order: Provided that where the goods a....
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....r than Indian rupees, for determination of value.- (1) The rate of exchange for determination of value of taxable goods shall be the applicable rate of exchange as notified by the Board under section 14 of the Customs Act, 1962 for the date of time of supply of such goods in terms of section 12 of the Act. (2) The rate of exchange for determination of value of taxable services shall be the applicable rate of exchange determined as per the generally accepted accounting principles for the date of time of supply of such services in terms of section 13 of the Act. 7. On perusal of legal provisions (supra), we observe that "Transaction Value" is the basis for valuation for supply of goods and/or services under the GST Regime....