TaxTMI 
TaxTMI 
TaxTMI 
2020 (4) TMI 869
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....uling in respect of administration and Pre connection and Post Connection service of 91 services as shown below. S.N. Amount Collected by CESC for providing Various Services Description of Service ADMINSTRATION- FEES/AMOUNT COLLECED FOR ADMINSTRTIONN RELATED SUPPLY 1. RTI Application Fee Application Fee Collected from Information seekers as Prescribed by the Govt. for giving information to the applicant seeking Information under RTI Act. 2. Amount Collected towards providing information under RTI Act. Amount Collected from the Applicant seeking Information. as Prescribed by the Govt. for providing additional information under RTI Act. 3. Departmental Exam fees collected form employees of CESC/ KPTCL Exam fees collected form employees for appearing to the Exams conducted by department (CESC/KPTCL) for promotions as per departmental norms. 4. E.M.D-Earnest money Deposit Earnest money Deposit received (cash, cheque, BG) against tender notification as. As per terms and condition of the Tender, Deposit paid to company by vendors for applying for tender for various work contracted for improvement and enhancement of distribution network. The EMD /Security Deposit /BG wil....
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....CESC 15. Replacement of Assets during the Guarantee Period (Using Delivery Challan) The defective items like Transformers etc, are replace by the supplier of Goods under Delivery Challan without making any invoice. No additional payment is made as the asset is replaced within Guarantee period 16. Profit on sale of Stores Purchased Goods (Stores) are Accounted in Books of A/c under Written Down Value (WDV). When it is scrap materials sold, Invoice is prepared and applicable GST is paid. Sale proceeds shown separately. Where the Scraps are sold at a higher price than the WDV, the difference is accounted as profit in Books of Account under the Profit on Sale of Stores a/c head. It is only Book Adjustment 17. Depreciation withdrawn from Contribution / subsidies as per AS-12 In respect of Purchase of Capital goods like Transformers, Poles, Cables etc. the depreciation accounted earlier is reversed. This is only reversal entry. 18. Write-back of Interest Interest accounted/demanded earlier if found to be accounted incorrectly, it is written back in books of accounts. This is only reversal entry. 19. Excess found on Physical verification of Materials Stock, Fixed Assets & Ca....
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....dors 31. Penalty recovered from supplier Bills Penalty recovered during payment of the suppliers bill for delay in work & delay in delivery of Goods/ under performance/supply of damaged Goods / Services as per terms and condition of contract/ work award 32. Stale Cheque If amount paid through Cheque by CESC as payment is not enchased or presented to bank by the vendor/ supplier/contractors/deposit refund/ service provider within due dates the cheque is cancelled or treated as stale cheque and amount is accounted as income if the same amount is not paid to the vendor/supplier/ contractors/ deposit refund/ service provider. 33. Transformer Rent Charges collected on Lending Transformer on temporary Basis to the consumers. 34. Rental From others Rent collected for using of CESC property like store yard/Buildings/ Poles for cable connection etc., from customers. 35. Sale of Scrap Amount collected for Sale of Burnt Meters, Damaged Transformers, Waste Transformer Oil, Waste Cables, Conductors, Gunny / Plastic Bags, Carboys, Drums are sold as Scrap to the contractors/Vendors 36. Cheque Dishonour Fee In case cheque issued by the consumer is dishonoured due to insufficient ....
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....separately from the consumers 47. Disconnection / Reconnection Fees It is the Reconnection charges collected for non-payment of electricity bills for the earlier period. It is not Fees as mentioned earlier. Further the amount is collected in the Power Bill itself and not collected separately from the consumers 48. Tariff Change Fee Fee collected for Change of Higher Tariff to lower Tariff and vice-versa due to Change of purpose of usage of Electricity supply as per request from consumer. 49. Ledger Abstract Fee Amount collected for providing Ledger Extract of the installations power usage, billing, payment and other information for a specific period of time of consumer account as per consumer request. 50. CT Testing Fees (Current Transformer) Fees collected for testing of working conditions of current transformers at the time installation of Transformer. 51. Additional Security Deposit Security Deposit collected in addition to the already existing deposits due to increase in tariff charges/load/annual usage of electricity. The same will be refunded at the time of surrender of installation/ permanent disconnection at consumer Request 52. Deposits on MBC (Meter Burnt....
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....vious month. Charges is applied for every month Duplicate bill issued 62. Rebate- for collection of Electricity Tax Electricity Tax levied at the time of electricity billing and the same is paid to the Govt. If the Electricity taxes are paid to government within stipulated time CESC receives rebate on such Electricity Tax paid and account under the head as "Rebate for payment of Electricity Tax." in the Books of A/c 63. Cross subsidy charges Amount received from Govt. as subsidy for supply of power to certain Tariffs like Bhagya Jyothi, Power-looms, etc installations as stipulated by the Govt. 64. Any amount transferred to Misc. Revenue Ex:- Deposits, ACC, ISD, ASD, MSD, MBC. Deposit Amounts like ISD, ASD, EMD, etc collected from the consumers for connection or contract works if not refunded due to non-traceability of consumer/contractors after 3 years the amount will be transferred to Misc Income of the company. (along with amount pertaining to pre-GST Transferred in GST Period). The amount will be paid back to the consumer when the consumer traced out or put request for refund 65. Receipts from consumers relating to prior periods Old dues received from consumers/contr....
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....ing approval of vendor for supply of Goods/Services for CESC who is qualified as per terms and conditions of the tender 76. Tender Application Fee Application Fee collected for applying quotations of tenders by the Vendors/Service Providers for supply Goods/Services to CESC. 77. Vendor Approval Fees Amount collected for providing approval of vendor for supply of Goods/Services for CESC who is qualified as per terms and conditions of the tender 78. Tender Application Fees Application Fee collected for applying quotations of tenders by the Vendors/Service Providers for supply Goods/Services to CESC. 79. Initial Security Deposit Initial Security Deposit collected from the consumers for providing Electricity connection. The same will be refunded at the time of surrender of installation/ permanent disconnection at consumer Request 80. Meter Security Deposit Security Deposit collected as collateral for installation of LT/HT meters to consumers at the time of New connection. The same will be refunded at the time of surrender of installation/ permanent disconnection at consumer Request or when meter is returned. 81. Advance Consumption Charges Advance amount collected as ....
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.... the work. 3. The applicant company furnishes some facts relevant to the stated activity: a. The applicant company is a limited and engaged in distribution of electricity. In turn they procure the electricity from various power suppliers such as KPTCL, KPCL, NTPC, KAOGA, JSW, PTCL, PGCIL etc. In addition to that, the applicant buys power from industries and individuals and also by the Solar Power generators. b. The Company supplies and distributes the powers to the various consumers, such as Companies, Industries, Commercial Shops, Hospitals, Farmers Irrigation pumps, Individuals, Government Organizations etc., in the Mysore, Mandya, Chamarajanagar, Hassan & Kodagu Districts. The power tariff rate is fixed by the government as per the mutual understanding between ESCOMS. c. In addition to that the applicant renders other essentials services in or relation to the distribution of Electricity to consumers like application fee, Registration fee. Supervision fee, Security deposit, Meter testing charges. d. Further the applicant has stated that Intra and interstate supply of Electrical energy is goods being exempted from the payment of taxes as per entry number 104 and Chapter H....
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....tion is being exempted from GST. 4. The applicant has referred to the following judgements in support of his contention: 4.1 In this regard the applicant has referred to the judgement rendered by Honourable Supreme court in the case of Doypack Systems (Pvt) Ltd. Vs. Union of India [1988 (36) ELT 201 (SC)] = 1988 (2) TMI 61 - SUPREME COURT, in which the Hon'ble Apex Court has analyzed that- Interpretation of Statute - Deeming provision - Intended to enlarge the meaning of a particular word. Deeming provision is intended to enlarge the meaning of a particular word or to include matters which otherwise may or may not fall within the main provisions. [para 64]. Interpretation of Statute - Meaning to be given to words - Construction to be adopted. - And also referred the of judgement rendered by Honourable Apex Court in the case of Oswal Agro Mills Ltd Vs. Collector of Central Excise [1993 (66) ELT 37 (SC)] = 1993 (4) TMI 73 - SUPREME COURT, the Hon'ble Apex Court has held that :- it is very clear that the statute should be interpreted in the liberal meaning. Interpretation of statute - Doctrines of reading down, Noscitur A Sociis and ejusdem generis - Applicability of - T....
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....rnment of India, it was clarified that the services by way of transmission or distribution of electricity by an electricity transmission or distribution utility is only exempted as per entry number 25 of notification No. 12/2017- CT (R) dated 28.06.2017 and other services provided by the applicant to consumer are taxable as under, - i. Application fee for releasing connection of electricity; ii. Rental Charges against metering equipment; iii. Testing fee for meters/ transformers, capacitors etc.; iv. Labour charges from customers for shifting of meters or shifting of service lines; Circular No. 34/8/2018-GST 3 v. charges for duplicate bill; Further it is was clarified in the circular that the other services such as meter rent, application fees, testing fees for meters etc. provided by these companies to their consumers are taxable. 6.6 The same contentions was upheld by AAR Rajasthan issued ruling in the matter of M/s Tp Ajmer Distribution Limited vide RAJ/AAR/2018-19/AR-02 dated dated 11-05-2018 = 2018 (6) TMI 1196 - AUTHORITY FOR ADVANCE RULING - RAJASTHAN and relying upon the Circular No 34/8/2018-GST issued on 1st March 2018 also held that transmission/distribution....